The Work Opportunity Tax Credit (WOTC) is offered by the federal government to employers for hiring individuals from certain target groups who have consistently faced significant barriers to employment. WOTC Administration Service automates all stages of applying for this tax credit including screening employees for eligibility, processing and filing state and federal forms, and tracking applications. Monitoring qualified employees’ time and wages ensures you receive the maximum tax credit.
The average tax credit WOTC Administration Service secures in $2,400 per employee. The actual amount a business saves depends of the number of eligible employees and the tax credit amount awarded for each employee.
For example, if you hire 100 employees, and 20% of them qualify, you would receive around $48,000.
According to the Department of Labor, employers annually claim over $1 billion in tax credits under WOTC. The maximum tax credit ranges from $1,200 to $9,600