{"id":9761,"date":"2022-11-18T19:51:24","date_gmt":"2022-11-18T19:51:24","guid":{"rendered":"https:\/\/apexmark.com\/wp\/24\/tcg\/services\/service01\/"},"modified":"2025-01-29T21:48:28","modified_gmt":"2025-01-29T21:48:28","slug":"wotc","status":"publish","type":"services","link":"https:\/\/apexmark.com\/wp\/24\/tcg\/services\/wotc\/","title":{"rendered":"Work Opportunity Tax Credit (WOTC)"},"content":{"rendered":"\t\t
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Work Opportunity Tax Credit (WOTC)<\/h3>

The Work Opportunity Tax Credit (WOTC) provides employers a federal income tax credit for employing personnel from specific selected groups. Tax Credit Group, Inc. provides administrative services to help Companies\/Corporations through the Screening and Administrative process.<\/p>

Work Opportunity Tax Credit (WOTC) Program is a federal tax incentive program that was designed to encourage employers to hire individuals who have historically faced barriers to employment. Each qualified new employee generally entitles you to a tax credit of either 25% or 40% of the first $6,000 in wages\u00a0 earned during the certified employee\u2019s first year of employment. The maximum credit is $9,600 for qualifying veterans.<\/p>

The WOTC program offers employers a tax credit against their federal tax liability for hiring individuals from any one of the target groups:<\/p>

  • Welfare Recipient (TANF)<\/strong> – Member of a family receiving Temporary Assistance for Needy Families (TANF) payments for any nine-month period during the 18 months preceding the employee’s start date.<\/li>
  • Ex-Offenders<\/strong> – An individual who has been convicted of a felony or released from prison in the 12 months prior to the individual\u2019s start date.<\/li>
  • Designated Community Resident<\/strong> – An 18-39 year old resident of one of the federally designated Empowerment Zones (EZs) or Rural Renewal Counties.<\/li>
  • Vocational Rehabilitation<\/strong> – An individual who completed or is completing a vocational rehabilitative program, individual work plan or Department of Veterans Affairs rehabilitative program.<\/li>
  • Summer Youth<\/strong> – An individual aged 16-17, who is hired between May 1 and September 15 and who lives in a Federal Empowerment Zone, Enterprise Community, Renewal Community or Rural Renewal County.<\/li>
  • Food Stamp Recipients<\/strong> – An individual aged 18-39, who is a member of a family that has received food stamps for six months prior to the start date, OR received food stamps for at least three months of the five-month period ending on the start date.<\/li>
  • SSI Recipient<\/strong> – An individual who is receiving supplemental security income benefits for any month ending within the 60-day period ending on the start date.<\/li>
  • Long Term Family Assistance Recipients\u00a0(formerly Welfare-to-Work)<\/em><\/strong>
    An individual who is a member of a family: That received Temporary Assistance for Needy Families (TANF), for at least the 18 consecutive months ending on the starting date; OR Whose TANF eligibility expired under federal or state law after August 5, 1997, for applicants hired within two years after their eligibility expired; OR That received TANF for a total of at least 18 months (whether or not consecutive), beginning after August 5, 1997, and has a starting date that is not more than two years after the end of the earliest 18-month period.<\/li>
  • Long Term Unemployed<\/strong> – An individual who has been unemployed at least 6 months and received\u00a0unemployment compensation under state or federal law.<\/li>
  • Qualified Veteran<\/strong> – A veteran who is any of the following:
    • A member of a family receiving assistance under a food stamp program for at least three months, all or part of which is during the 12 months ending on the hiring date.<\/li>
    • Entitled to compensation for a service-connected disability and has a hire date that is not more than a year after having been discharged or released from active duty; or\u00a0has a period of unemployment of six months or more during the one-year period ending on the hire date.<\/li>
    • Has a period of unemployment of at least four weeks, but less than six months, during the one-year period ending on the hire date.<\/li>
    • Has a period of unemployment of at least six months during the one-year period ending on the hiring date.<\/li><\/ul><\/li><\/ul>

      Calculating the Work Opportunity Tax Credit (WOTC)<\/h4>

      Most target groups\u2019 maximum credit is $2,400. The following groups are eligible to receive a higher maximum credit:<\/p>

      • $4,800 for each veteran with a service-connected disability that is hired within one year of their discharge date.<\/li>
      • $5,600 for each veteran that is hired and was unemployed for at least six months prior to being hired.<\/li>
      • $9,000 for each new hire that is a member of a family that has received TANF benefits for at least 18 consecutive months prior to their hire date.<\/li>
      • $9,600 for each veteran with a service-connected disability that is hired and was unemployed for ate least six months prior to being hired.<\/li><\/ul>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t
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        \n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\"WOTC\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"

        Work Opportunity Tax Credit (WOTC) Program is a federal tax incentive program that was designed to encourage employers to hire individuals with special employment needs. <\/p>\n","protected":false},"featured_media":12979,"template":"","service_category":[],"class_list":["post-9761","services","type-services","status-publish","has-post-thumbnail","hentry"],"_links":{"self":[{"href":"https:\/\/apexmark.com\/wp\/24\/tcg\/wp-json\/wp\/v2\/services\/9761","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/apexmark.com\/wp\/24\/tcg\/wp-json\/wp\/v2\/services"}],"about":[{"href":"https:\/\/apexmark.com\/wp\/24\/tcg\/wp-json\/wp\/v2\/types\/services"}],"version-history":[{"count":119,"href":"https:\/\/apexmark.com\/wp\/24\/tcg\/wp-json\/wp\/v2\/services\/9761\/revisions"}],"predecessor-version":[{"id":14119,"href":"https:\/\/apexmark.com\/wp\/24\/tcg\/wp-json\/wp\/v2\/services\/9761\/revisions\/14119"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/apexmark.com\/wp\/24\/tcg\/wp-json\/wp\/v2\/media\/12979"}],"wp:attachment":[{"href":"https:\/\/apexmark.com\/wp\/24\/tcg\/wp-json\/wp\/v2\/media?parent=9761"}],"wp:term":[{"taxonomy":"service_category","embeddable":true,"href":"https:\/\/apexmark.com\/wp\/24\/tcg\/wp-json\/wp\/v2\/service_category?post=9761"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}