State of Kentucky issued 30 percent more Workforce Opportunity Tax Credits to employers in fiscal year 2017
The Kentucky Career Center (KCC) reports this week that they have issued 53,398 Workforce Opportunity Tax Credits (WOTC) to Kentucky employers during fiscal year (FY) 2017, a 30 percent increase from the 41,098 issued in FY 2016, according to the Kentucky Department of Workforce Investment. The WOTC program potentially saved Kentucky employers more than $205 million in federal taxes.
“It is encouraging to see more Kentucky employers taking advantage of the Workforce Opportunity Tax Credit to hire new employees because it helps them reduce taxes and it assists people who have historically faced difficulty getting a job or re-entering the workforce,” said Beth Kuhn, commissioner of the Kentucky Department of Workforce Investment.
For employers to receive a tax credit, they must hire an individual who meets the criteria of at least one of the WOTC target groups.
More than a third of the $205,523,400 in potential tax credits from July 1, 2016 – June 30, 2017, were hires who qualified as Supplemental Nutrition Assistance Program (SNAP) recipients with 35,968 hires accounting for $86,323,200. TANF recipients were the next highest group with $66,321,000 in potential tax credits.
About CMS Tax Credit Services
CMS has worked with WOTC since 1997, and we have found over the years that on average 10-15% of all new employees can fall into one of the tax credit categories that qualify for a tax credit. The average credit received is between $1,500 – $9,600 per qualified new hire depending on the target group. Some of our customers have saved a phenomenal $100,000 in a single year.
How Much Can We Save You?
To find out your potential savings, please see our WOTC Calculator. There’s never been a better time to learn about WOTC. Please contact us at 800-517-9099 to speak to a Work Opportunity Tax Credit expert today.