The WOTC (Work Opportunity Tax Credit) can be used to reduce your taxes. It is a Federal credit calculated off your payroll and is based on you hiring certain hard to employ target groups.
If you hire a person who belongs to one of the following groups, you can obtain the credit:
TARGET GROUPS | MAXIMUM TAX | AGE |
Designated Community Resident | $2,400 | 18-39 |
Ex-Felon | $2,400 | NONE |
Food Stamp Recipient | $2,400 | 18-39 |
Summer Youth | $1,200 | 16-17 |
Supplemental Security Income | $2,400 | NONE |
Long Term Family Assistance | $9,000 | NONE |
Service Connected Disabled Veteran | $4,800 | NONE |
Vocational Rehabilitation Referral | $2,400 | NONE |
The credit, although generous, requires a substantial amount of pre-hiring certification and follow-up.
If you are interested in starting a hiring process that includes WOTC application processing. Contact Julie at Kallas and she will send you a package of procedures.
