2 What is: Work Opportunity Tax Credit W.O.T.C. A Tax Credit available to employers who hire individuals from certain targeted groups.The WOTC can reduce an employer’s federal tax liability by up to $9,000 per new hire.
3 The WOTC has two purposes: Promote the hiring of individuals who qualify as a member of a target groupProvide a federal tax credit to employers who hire these individuals
4 WOTC Target Groups A - Qualified TANF Recipient B - Qualified Veteran C - Qualified Ex-FelonD - Empowerment Zone ResidentE - Vocational Rehabilitation ReferralF - Qualified Year Old Summer YouthG - Qualified Food Stamp RecipientH - Qualified SSI RecipientI - Long-Term Family AssistanceJ - Qualified Veteran collecting UIK - Disconnected Youth
5 What’s Required?IRS Form 8850: “Pre-screening Notice and Certification Request,” andDOL ETA Form 9061: “Individual Characteristics Form,” ORDOL ETA Form 9062: “Conditional Certification”
8 Simple ProcessIdentify the potential candidate & determine eligibility.Fill out and sign the 2 forms at the time of hire.Mail the forms no later than the 28th day after the applicant begins work.
9 Concluding Highlights The WOTC provides tax credit opportunities for employersSpecific Target GroupsOnly 2 Forms RequiredForm needs to be signed ON or BEFORE the hire date.Must be submitted to the WOTC center no later than the 28th day after the applicant starts work.
10 Call the WOTC Center toll-free For More InformationCall the WOTC Center toll-freeOther helpful resources:or
11 Employment Program Representative Employment Development Department Thank You!!Paula DuarteEmployment Program RepresentativeEmployment Development Department