- What is the Work Opportunity Tax Credit (WOTC)?
- What are the target groups?
- Is the WOTC program a good fit for my business?
- What forms do I need to apply and when must they be submitted?
- Why should I use Tax Incentive Services, LLC?
- How am I charged for using Tax Incentive Services, LLC?
- Do current employees qualify for the WOTC?
- Can I rehire an employee to receive the tax credit?
- Can I claim the credit if my company is operating at a loss?
- How will applying for the WOTC affect my hiring process?
What is the Work Opportunity Tax Credit (WOTC)?
WOTC is a Federal tax credit for employers hiring individuals from various target groups. About $1 billion each year is claimed by companies taking advantage of this program. New hires will indicate on Form 8850 on or before the day they are offered the job whether they belong to one of the target groups. If they do belong to a target group, Form 8850 along with Form 9061 or 9062 is submitted to the state workforce agency for certification. The company will receive a tax credit for each certified employee based on their hours worked, wage, and target group.
Check out the WOTC Calculation Chart for a detailed breakdown on tax credit amounts
What are the target groups?
Non-Veteran Target Groups
Click here to learn more about the target groups
Veteran Target Group
Is the WOTC program a good fit for my business?
While some businesses will benefit more than others, all should be participating in the program. It is not uncommon for companies to be surprised to find out just how much money they were missing out on when they begin applying.
Occupations with large numbers of target group certifications
What forms are needed to apply and when must they be submitted?
Download the forms here.
Why should I use Tax Incentive Services, LLC?
Each year, millions of dollars in tax credits are lost by companies due to missed deadlines, using outdated forms, forms being filled out incorrectly, and not having a pre-screening process for job applicants. Tax Incentive Services, LLC will help to make sure these mistakes are not made so you can receive the maximum tax credit. While you certainly may process WOTC applications in-house, we believe that the peace-of-mind you will have knowing your applications are being handled by professionals is well worth the reasonable fee.
How am I charged for using Tax Incentive Services, LLC?
Do current employees qualify for the WOTC?
Can I rehire an employee to so I can receive the WOTC?
Can I claim the credit if my company is operating at a loss?
How will applying for the WOTC affect my hiring process?