| How does it apply to persons with disabilities? |
Employers who hire persons with disabilities who are SSI recipients and/or certified vocational rehabilitation (VR) referrals may claim the WOTC.
A certified VR referral is a person having a physical or mental disability resulting in a hindrance to employment, who completed or is completing rehabilitative services approved by a state or the U.S. Department of Veteran Affairs (pursuant to the Vocational Rehabilitation Act of 1973). |
| What are the Minimum Employment Requirements? |
Eligible employees must work 180 days or 400 hours; summer youth employees must work 20 days or 120 hours. A partial credit of 25% for certified employees who worked at least 120, but less than 400 hours may be claimed by the employer. |
| What is the amount of the credit? |
An employer may take a tax credit of up to 40% of the first $6,000, or up to $2,400, in wages paid during the first 12 months for each new hire. |
| What are the effective dates of this program? |
The program is currently authorized through December 31, 2005, and applies to new hires that begin work on or after December 31, 2003 and before January 1, 2006. This program is subject to yearly Congressional renewal. |
| How do employers file for this credit? |
Complete and submit IRS Form 8850, Pre-Screening Notice and Certification Request for the Work Opportunity and Welfare-to-Work Credits, to:
Ms Jeanne Sweeney
WOTC Coordinator
California Employment Development Department Job Service Division, MIC 37
800 Capitol Mall
Sacramento, CA 95814
phone: (916) 654-9715 FAX: (916) 654-9753
jsweeney@edd.ca.gov |
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