The Work Opportunity Tax Credit (WOTC) is a federal tax credit available to employers who hire individuals from eligible target groups.
Eligible target groups
New hires must be certified under one or more of the target groups to receive a federal tax credit:
- Unemployed Veterans (including disabled veterans)
- Temporary Assistance for Needy Families (TANF) recipients
- Food Stamp (SNAP) recipients
- Designated Community Residents (living in Empowerment Zones or Rural Renewal Counties)
- Vocational Rehabilitation Referred individuals
- Supplemental Security Income recipients
- Summer Youth Employees (living in Empowerment Zones)
- Long-term Unemployed
Please refer to USDOL's eligible new hires page and chart on the certification criteria for more information.
Read how tax credits are calculated and use the WOTC calculator to see how much your business can earn in tax credits.
Want to thank a veteran? Hire one.
Claim a tax credit for hiring a veteran who has a service-connected disability, is unemployed, or is a member of a family receiving SNAP (food stamp) benefits.
- Reduce your federal income tax liability by as much as $9,600 per veteran hired.
- There is no limit on the number of individuals an employer can hire to qualify to claim the tax credit.
- Certain tax-exempt organizations can take advantage of WOTC by receiving a credit against the employer's share of Social Security taxes.
|VETERAN TARGET GROUP||MAX. TAX CREDIT|
|Receives SNAP (food stamps) benefits||$2,400|
|Entitled to compensation for service-connected disability:|
|Hired within 1 year of discharge or release from active duty||$4,800|
|Unemployed at least 6 months in the year ending on the hiring date||$9,600|
|At least 4 weeks||$2,400|
|At least 6 months||$5,600|
How to apply
Go to How to Participate for steps on accessing our online application and requesting certification. The employer or agent must apply for, and receive, certification to claim these tax credits. Agents acting on behalf of employers must send us a valid Power of Attorney.
Note: applications must be submitted to the Ohio WOTC Office within 28 days of the start to work date to meet the timely filing criteria. Don’t miss this tax credit by missing the deadline!
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