The Work Opportunity Tax Credit has recently been extended beyond its former deadline to include the hiring of eligible workers before December 31, 2013. Companies hiring qualified people in targeted groups (including veterans) may follow the required steps and may claim their tax credit of $2,400 – $9,600 depending on eligibility.
Pre-Screening and Certification Requirements
“All employers must obtain certification that an individual is a member of a targeted group, before the employer may claim the WOTC” says the IRS and they mean business about this. You my hire a qualified person, but if you miss a deadline or do something out of order, then you will be out of luck so read the directions carefully.
Claiming the Credit
Fill out the right form. Depending on your business status you will need to fill out Form 5884 or 3800. Check the IRS’s guidelines for how to do this.