The Work Opportunity Tax Credit offers employers a federal tax credit for hiring individuals from designated target groups who face significant barriers to employment. Credits vary by group and wages paid, ranging from $1,200 to $9,600. Employers must submit required IRS and ETA forms within 28 days of hire and ensure employees work at least 120 hours in the first year to qualify.
Employers hiring individuals from eligible federal WOTC target groups such as veterans, ex-felons, youth, and recipients of various assistance programs. Eligible employees must work a minimum of 120 hours in the first year.
