CMS Work Opportunity Tax Credit Newsletter March 2025

In this issue:

• Update to WOTC Administration Portal
• WOTC Wednesday: Is it Worth it for Employers to Use WOTC Tax Credits?
• CMS Pin Point WOTC Technology (CPPT)
• Understanding the Work Opportunity Tax Credit’s Target Groups: Summer Youth Employee
• Work Opportunity Tax Credit Statistics Georgia
• #ICYMI

 

Update to WOTC Administration Portal

When you log in to your WOTC Administration portal you’ll see a new link on the navigation menu “Realized Tax Credits”. This link gives you real-time data on your tax credit certifications. You will also be able to download a copy of your certifications from this page. Please contact your account manager should you have any questions.

 

WOTC Wednesday: Is it Worth it for Employers to Use WOTC Tax Credits?

CMS’s Brian Kelly answers your questions about the Work Opportunity Tax Credit in our weekly video Q&A series #WOTCWednesday.

Other Recent #WOTCWednesday Questions Answered:

• How many WOTC Tax Credit Target Groups are there?
• Can I Integrate the WOTC Program with my Onboarding Software?
• How are Work Opportunity Tax Credits (WOTC) Calculated?

 

CMS Pin Point WOTC Technology (CPPT)

CMS’s Pin Point WOTC Technology (CPPT) performs a multi-step process to detect, identify and confirm new hires living in Federal Empowerment Zones and Rural Renewal Communities. CMS provides another technology tool designed to maximize the federal tax credit program for our clients.

 

Understanding the Work Opportunity Tax Credit’s Target Groups: Summer Youth Employee

New hires who fall under one or more of WOTC’s Target Groups may make you eligible for a WOTC Tax Credit. Target Group #7 is the Summer Youth Employee. 1,209 individuals were hired with certification from this group in 2023, 1.2% of the total.

A “qualified summer youth employee” is one who:

• Is at least 16 years old, but under 18 on the hiring date or on May 1, whichever is later
• Only performs services for the employer between May 1 and September 15 (was not employed prior to May 1) and
• Resides in an Empowerment Zone (EZ)

The maximum tax credit available for hiring a qualified Summer Youth Employee is $1,200.

 

Work Opportunity Tax Credit Statistics Georgia

In 2023 the state of Georgia issued 65,424 Work Opportunity Tax Credit certifications.

Georgia issued 3.30% of all WOTC Tax Credits in 2023, SNAP Recipient was Georgia’s highest tax credit target group with 75% of certifications for that category. See historical data on Georgia and the Work Opportunity Tax Credit.

 

#ICYMI