Work Opportunity Tax Credit

OVERVIEW

The Work Opportunity Tax Credit is a federal income tax credit for employers who hire employees from eligible groups including youth, ex-offenders, and public assistance recipients.

TAX CREDITS

Businesses can reduce their taxes up to $2,400 for each new adult hire, up to $1,200 for each new summer youth hire, and up to $9,000 for each new long-term family assistance recipient hired over a two year period.

ELIGIBILITY

For-profit employers are entitled to a credit against their federal income tax liabilities for hiring members of the following eligible groups: public assistance recipients, qualified veterans, high risk youth, summer youth, ex-offenders, vocational rehabilitation participants, and supplemental security income recipients.

NEED ASSISTANCE?

Contact the California Employment Development Department