HR Cloud Blog WOTC Screening 101: Benefits, Challenges, and the Future

The Work Opportunity Tax Credit (WOTC) is a federal tax credit available to businesses who hire and retain qualified employees from various target groups who may typically face obstacles in securing employment. By creating new economic opportunities, this program also helps reduce the overall burden on other government assistance programs. The WOTC has two distinct purposes: Promote the hiring of those individuals who may qualify as a member of a target group.  Provide a federal tax credit of up to $9,600 for employers who hire these individuals. Yet the process may not be as easy as it may seem and many companies find they have questions related to the overall process, what paperwork to complete, and various deadlines. To help you understand WOTC, this article covers all of these details and more.