The Work Opportunity Tax Credit (WOTC) is a Federal tax credit available to employers for hiring individuals from certain disadvantaged groups who have consistently faced significant barriers to employment.
WOTC joins other workforce programs that incentivize workplace diversity and facilitate access to good jobs for American workers.
The federal government provides tax credits of up to $10,000 for each qualified employee hired by a business. In addition, state hiring programs can add up to an additional $60,000 per qualified hire.
WOTC Targeted Groups Include
Qualified IV-A recipient
Designated community resident
Vocational rehabilitation referral
Recipient of SNAP benefits (food stamps)
Supplemental Security Income (SSI) recipient
Qualified Long-term unemployment recipient
Long-term family assistance recipient
Qualified ex felon
Negotiated Incentives Many states offer incentives to businesses who are expanding in their state or relocating. These incentives are typically negotiated with the state or locality, but can represent significant cash assistance from these localities to help businesses move forward with growth plans.
Enterprise Zones At both the Federal and State level, many programs are available which reward businesses who relocate or expand in designated geographic areas.
Get to know our Work Opportunity Tax Credit (WOTC) Verification Services