Work Opportunity Tax Credit
Receive up to $2,400 in tax cuts*! The Work Opportunity Tax Credit is one way that employers can reduce their Federal Income Tax. *Through this program, employers can claim a tax credit on each eligible new employee.
|Employees Who Qualify:||1st year of employment; Member of family receiving AFDC or TANF; Qualified Veteran; Qualified Ex-Felon; Vocational ReHab Program; Qualified Food Stamp or SSI Recipient; Must work a minimum of 120 hours/annually.|
|Savings:||Save 25% of base pay on those who work between 120 – 400 hours annually.
Save 40% of base pay on those who work over 400 hours.
ie: 300 hrs @ $9.00 x 25% = $675 600 hrs @ $9.00 x 40% = $2,160
|Benefits to Employer:||$6000 of earnings covered; Tax credit of 25% or 40% (depending on hours worked annually).|
If all that makes your head spin…call us and we’ll help you through it!
For more detailed information on how state tax credits can benefit your company, click here.