AWI PROGRAMS
Work Opportunity Tax Credit
Introduction
The Work Opportunity Tax Credit (WOTC) is an incentive to private, for profit employers to hire individuals from certain targeted groups. Our professionals are eager to assist you in taking advantage of this important benefit.
Employers can receive tax credits equal to 25% of qualified, 1st year wages up to $6,000 for a maximum allowable credit of $1,500 per employee if the individual works more that 120 hours but less than 400 hours. If the employee works more than 400 hours in the first year, an employer can receive tax credits equal to 40 % of 1st year qualified wages up to $6,000 for a maximum allowable credit of $2,400 per employee. The maximum credit for Summer Youth is $1,200. There is no limit to the number of qualified employees for which an employer can take the credit.
Details
- To qualify for a WOTC, employers must hire individuals from any of the following nine target groups: Qualified IV-A Recipients (includes AFDC); Qualified Veterans; Qualified Ex-Felons; Qualified Designated Community Residents; Qualified Vocational Rehabilitation Referrals; Qualified Summer Youths; Qualified Food Stamp Recipients; Qualified Supplemental Security Income Recipients; and Long Term Family Assistance Recipients (formerly WTW).
- The American Recovery and Reinvestment Act of 2009 expanded the WOTC Program to include two new target groups. The new target groups are: Qualified Unemployed Veteran and Qualified Disconnected Youth. NOTE: Certification for the new target groups will not be issued until final guidance is received from the U.S. Department of Labor.
- Job applicants should be interviewed for "probable eligibility" PRIOR to a job offer. The employer and applicant must complete and sign a Pre-Screening Notice, IRS Form 8850, in its entirety. Original signatures of the applicant and the employer are required, and the signed, Pre-Screening Notice with the original signatures must be postmarked no later than the 28st day after the employee's start date of employment in order for a tax credit to be authorized.
- For individuals who appear eligible, employers must submit a Request for Certification to the WOTC Unit. A Request for Certification consists of sending to the WOTC Unit (1) the Pre-Screening Notice, IRS Form 8850 and (2) the Individual Characteristics Form, ETA-9061.
- An employer must employ the WOTC eligible worker for a minimum of 120 hours to qualify for a tax credit. A summer youth worker must be employed for a minimum 120 hours (between May 1 and September 15).
- Requests should be mailed to the WOTC Unit, Agency for Workforce Innovation, MSC G-300, 107 E. Madison Street, Tallahassee, Florida 32399-4140.
Where to go for HELP?
- Download the WOTC Informational Brochure, the Pre-Screening Notice IRS Form 8850 and the instructions and the Individual Characteristics Form, ETA Form 9061 from the following site: http://www.floridajobs.org/workforce/WOTC.html or call 1-800-829-3676 (IRS Forms Distribution Center).
- Mailing address for IRS Form 8850 and ETA Form 9061
Agency for Workforce InnovationWOTC Tax Credit ProgramMSC #G-300, Caldwell Building107 East Madison StreetTallahassee, Florida 32399-4140
Contact Informtaion
Contact the WOTC Unit Coordinator or any one of the Specialists at the following:
| Gloria Harrison, WOTC Coordinator | (850) 921-3299 |
| Carver Spence, Specialist | (850) 921-3379 |
| Sheila Jones Copeland, Specialist | (850) 921-3374 |
| Ruby Barnes , Specialist | (850) 921-3828 |
| Carolyn Wade, Specialist | (850) 921-3393 |
| Wanda Townsend, Specialist | (850) 921-3827 |
Work Opportunity Tax Credit (WOTC) Additional Information:
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