Do Your New Hires Qualify for the Work Opportunity Tax Credit (WOTC)?

Don’t Leave a Potential Tax Credit on the Table

A federal hiring incentive, the Work Opportunity Tax Credit (WOTC) is available to employers who hire qualifying individuals from specific target groups that have consistently faced significant barriers to employment.

These target groups include:

  • Individuals who have been on government assistance, such as TANF and SNAP
  • Unemployed veterans (including disabled veterans)
  • Ex-felons
  • Individuals referred by vocational rehabilitation

90% of “for-profit” businesses are eligible for the WOTC. The tax credit currently ranges from $1,200 to $9,600 per qualified hire.

The WOTC is a “win-win”—it helps individuals become self-sufficient by earning steady wages at a good job, while allowing employers to reduce their tax liability.

How To Simplify The WOTC Application Process

Like anything having to do with the government or taxes, the WOTC process can be complex and time-consuming. Not every individual in one of the target groups qualifies; there are other criteria that must be met such as the length of time the person has been unemployed or receiving government assistance.

That’s why we’ve partnered with National Tax Credit (NTC), a contingency-based consulting and tax credit processing firm, to make the process easier. Through this partnership, PROWORK now has the ability to incorporate a WOTC survey to new hires during the onboarding process. Once the employee completes the short survey, NTC takes it from there to process and apply for the credit on behalf of your company.

That’s it! There’s no hassle and time spent trying to figure out and complete complicated paperwork.

Interested in signing up for the WOTC processing service? Contact your Customer Success Manager today.