Work Opportunity Tax Credit

The Work Opportunity Tax Credit encourages employers to hire individuals who are qualified for open positions but face barriers to employment.

How It Works

Businesses can receive a one-time tax credit of $2,400-$9,600 for hiring a qualified job applicant; the amount varies, depending on the hire.

To be eligible for the tax credit, employers must hire an individual from one of the following groups:

  • Recipients of Temporary Aid to Needy Families (TANF) or the Supplemental Nutrition Assistance Program (SNAP)
  • Former offenders
  • Vocational rehabilitation recipient
  • Recipients of long-term family assistance
  • Veterans unemployed at least four weeks
  • Veterans with a service-connected disability

In North Carolina, the N.C. Division of Workforce Solutions accepts applications for the tax credit, which is authorized by the U.S. Congress.

Status of WOTC (Updated 01/09/2015)

The U.S. Congress reauthorized WOTC for the 2014 calendar year. Businesses that hired eligible employees during that timeframe may submit their applications to the N.C. Division of Workforce Solutions. At the time of this writing, WOTC has not been authorized for 2015.

How to Apply

Employers may file an application online.

For more information about the program, contact Virginia Terrell at 919-814-0439, or e-mail virginia.terrell@nccommerce.com.


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