Work Opportunity Tax Credit is a Federal tax credit available to companies who hire and retain veterans and individuals from other target groups with considerable barriers to employment. Employers declare about $1 billion in tax credits each year under the Work Opportunity Tax Credit program. There is no limitation on the variety of individuals a company can employ to qualify to claim the tax credit. The WOTC was begun in 1996 to encourage companies to employ and retain veterans and individuals from other target groups. The credit was arranged to be eliminated for 2015, however the COURSE Act of December 2015 restored the tax credit and extended it through December 31, 2019. How Does the Work Opportunity Tax Credit Work? The Work Opportunity Tax Credit is not one however numerous tax credits given to companies for hiring certain people who fulfill particular requirements. The amount of tax credit you can declare depends upon numerous aspects

With the utilization rate of less than 5 percent, entrepreneur are leaving a ton of money unclaimed for this tax credit.