We administer these federal hiring credits:
- Work Opportunity Tax Credit and Welfare to Work Hiring Credit Programs
- Federal Empowerment Zones
- Renewal Communities
What are the Work Opportunity Tax Credit and Welfare to Work Programs?
The Work Opportunity Tax Credit (WOTC) and Welfare to Work programs offer employers a federal tax credit for hiring qualified individuals. Under WOTC, employers may claim a credit of 40% of first year wages up to $6000 for employees who work at least 400 hours for a maximum credit of $2400 per employee.
Welfare to Work credit may qualify the employer up to $3500 the first year and $5000 for their second year of employment when hiring long term family assistance recipients.
What are the Federal Empowerment Zone and Renewal Communities Credits?
The federal government has established Empowerment Zones and Renewal Communities in many areas across the United States. These geographic zones represent economically distressed communities. These tax credits provide businesses with an incentive to hire individuals who live and work in these zones. The credit under the Empowerment Zone can be up to $3000 per qualified employee per year through 2009, or up to $1500 for Federal Renewal Communities.
How does an employee qualify for the Federal EZ/EC?
The employee resides in a Federal EZ/EC and is employed for at least 90 days.
To learn more about how alliantgroup can help with your Federal Hiring Credit, please contact Gary Buse at 949.809.2170.
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