In today’s competitive business environment, maximizing savings and efficiency is crucial. We’re excited to announce a new partnership with WOTC.com, enabling us to offer our clients a streamlined way to process Work Opportunity Tax Credits (WOTC). This collaboration enhances our mission at ProVerify to provide comprehensive background check services and Child Protective Clearances, by adding a valuable tax benefit for employers who hire individuals from specific target groups.
What is the Work Opportunity Tax Credit (WOTC)?
The WOTC is a federal tax credit available to employers for hiring individuals from certain groups who have consistently faced significant barriers to employment. This credit provides a financial incentive to encourage businesses to give opportunities to those who might otherwise struggle to find work.
The Benefits of Capturing WOTC Credits through WOTC.com
- Significant Tax Savings: Depending on the target group and the employee’s hours worked, employers can earn tax credits ranging from $1,200 to $9,600 per qualified employee. These savings can significantly reduce your business’s tax liability. Most credits can be carried over into next year!
- Boosting Your Bottom Line: By tapping into these credits, businesses can improve their overall profitability. The money saved through WOTC can be reinvested into the company, fueling growth and expansion.
- No Fee Unless You Get Credits: WOTC.com does not charge a set up fee, or form fees, and you are only ever charged once you have qualified for credits for new hires! No risk!
Understanding WOTC Target Groups
The WOTC program focuses on several specific target groups, each representing a population that has traditionally faced barriers to employment. You don’t have to try to determine where your candidates may fall into one of these buckets – the questionnaire they complete online will determine whether or not they qualify for a credit category. The categories include:
A “qualified IV-A recipient” is an individual who is a member of a family receiving assistance under a state program funded under part A of title IV of the Social Security Act relating to Temporary Assistance for Needy Families (TANF). The assistance must be received for any 9 months during the 18-month period ending on the hiring date.
A “qualified veteran” is a veteran who is any of the following: a member of a family receiving assistance under the Supplemental Nutrition Assistance Program (SNAP) (food stamps) for at least a 3-month period during the 15-month period ending on the hiring date or; Unemployed for periods of time totaling at least 4 weeks (whether or not consecutive) but less than 6 months in the 1-year period ending on the hiring date. Unemployed for periods of time totaling at least 6 months (whether or not consecutive) in the 1-year period ending on the hiring date. Entitled to compensation for a service-connected disability and hired not more than 1 year after being discharged or released from active duty in the U.S. Armed Forces or Entitled to compensation for a service-connected disability and unemployed for periods of time totaling at least 6 months (whether or not consecutive) in the 1-year period ending on the hiring date.
A “qualified ex-felon” is a person hired within a year of: being convicted of a felony or being released from prison for the felony.
Vocational Rehabilitation Referral
A “vocational rehabilitation referral” is a person who has a physical or mental disability and has been referred to the employer while receiving or upon completion of rehabilitative services pursuant to a state plan approved under the Rehabilitation Act of 1973. An Employment Network Plan under the Ticket to Work program or a program conducted under the Department of Veteran Affairs
Qualified Summer Youth Employee
A “qualified summer youth employee” is one who is at least 16 years old, but under 18 on the hiring date or on May 1, whichever is later and only performs services for the employer between May 1 and September 15 (was not employed prior to May 1) and must reside in an active Empowerment Zone (EZ)
Qualified Supplemental Nutrition Assistance Program (SNAP/Food Stamps) Recipient
A “qualified SNAP benefits recipient” is an individual who on the hiring date is at least 18 years old and under 40 and a member of a family that received SNAP benefits for: the previous 6 months or at least 3 of the previous 5 months
Qualified Supplemental Security Income (SSI) Recipient
A “qualified SSI recipient” is an individual who received SSI benefits for any month ending within the 60-day period that ends on the hire date.
Long-Term Family Assistance Recipient
A “long-term family assistance recipient” is an individual who, at the time of hiring, is a member of a family that meet one of the following conditions: Received assistance under an IV-A program for a minimum of the prior 18 consecutive months. Received assistance under an IV-A program for a minimum 18-month period beginning after 8/5/1997 and it has not been more than 2 years since the end of the earliest of such 18-month period or ceased to be eligible for assistance under an IV-A program because a federal or state law limited the maximum time those payments could be made, and it has been not more than 2 years since the cessation of such assistance.
Qualified Long-Term Unemployment Recipient
A “qualified long-term unemployment recipient” is an individual who has been unemployed for not less than 27 consecutive weeks at the time of hiring and who received unemployment compensation during some or all of the unemployment period.
Designated Community Resident (DCR)
A DCR is an individual who, on the hiring date and is at least 18 years old and under 40 and has a principal residence within one of the following: An Empowerment Zone (EZ) or a Rural Renewal County (RRC) when active. The EZ and RRC zones are subject to change at any time.
Note: WOTC Categories are subject to change at any time, and you never have to worry about that! Some employees must work a minimum number of hours to be eligible. Credit available for new hires only, not existing employees.
Why Choose ProVerify and WOTC.com for WOTC Processing?
At ProVerify, we are committed to providing comprehensive services that enhance your business operations. By adding WOTC processing to our offerings, we ensure that you don’t miss out on valuable tax credits that can benefit your bottom line. Our expertise, combined with WOTC.com’s robust platform, provides you with a hassle-free experience, maximizing your savings and contributing.
Take advantage of this opportunity to save on taxes while making a positive impact on your community. Contact us today to learn more about how ProVerify and WOTC.com can help you capture WOTC credits and enhance your business’s financial health. Email us today at: jkerrigan@applicationverification.com or visit our website for more details; https://applicationverification.com/wotc-partner/
Contact Us
