CMS Work Opportunity Tax Credit Newsletter October 2025
In this issue:
- Reminder to Customers: Send WOTC Surveys Within 28 Days of Employee’s Start Date
- HR.com Speaks with Brian Kelly About iRecruit, and the Work Opportunity Tax Credit
- What are the Benefits of Switching to Paperless WOTC Screening?
- Understanding the Work Opportunity Tax Credit’s Target Groups: Qualified Ex-Felon
- #ICYMI
Reminder to Customers: Send WOTC Surveys Within 28 Days of Employee’s Start Date
DON’T MISS OUT ON TAX CREDITS! We would like to remind customers who are doing a lot of hiring over the next few months to make sure you send us your WOTC paperwork within 3 weeks of the employee’s start date.
Because of the WOTC 28 Day Rule CMS has just 28 days from the employee’s start date to submit your forms to the respective state agency for processing. The 3 week suggestion is to make sure our team of administrators has time to screen and process your WOTC applications.
CMS’s secure portal is the quickest and easiest way for new hires to complete the WOTC “paperwork”. If you have questions or need assistance, please contact us today.
HR.com Speaks with Brian Kelly About iRecruit, and the Work Opportunity Tax Credit
Brian Kelly, Managing Partner of CMS iRecruit, speaks with Sue Morton of HR.com Live, to discuss how iRecruit’s unique applicant tracking software facilitates seamless integration AND taps into additional talent pools that give tax service credits using WOTC. In the interview Brian explains to Sue what makes iRecruit different from other ATS systems and how iRecruit provides a unique experience.
What are the Benefits of Switching to Paperless WOTC Screening?
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:
- Is There a Minimum Wage for WOTC?
- How many WOTC Target Groups are there?
- Is There a WOTC Tax Credit for Hiring Former Employees?
Submit your question for Brian here.
Understanding the Work Opportunity Tax Credit’s Target Groups: Qualified Ex-Felon
New hires who fall under one or more of WOTC’s Target Groups may make you eligible for a WOTC Tax Credit. Target Group #3 is the Qualified Ex-Felon. 49,661 individuals were hired with certification from this group in 2024, 3.1% of the total.
A “qualified ex-felon” is a person hired within a year of:
- Being convicted of a felony or
- Being released from prison for the felony
The maximum tax credit available for hiring a Qualified Ex-Felon is $2,400.
#ICYMI
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- Your WOTC Dashboard
- IRS Encourages Employers to Take Advantage of Work Opportunity Tax Credit
- EEOC Issues Formal Opinion on the Work Opportunity Tax Credit
- WOTC’s Target Groups
- Calculate your WOTC Savings
- Tips to Maximize WOTC Participation and Increase Savings
- Cost Management Services Achieves SOC 2 Type 2 Compliance
Cost Management Services (“CMS”) the developer of iRecruit, Applicant Tracking and Onboarding Software, and Work Opportunity Tax Credit (WOTC) Screening Software Provider is excited to share the successful completion of our SOC 2 Type II compliance assessment, led by Insight Assurance. This achievement highlights our ongoing focus on protecting customer data, improving internal controls, and staying aligned with evolving industry expectations.
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The latest news on the Work Opportunity Tax Credit (WOTC) from Cost Management Services. Sign Up for the Work Opportunity Tax Credit (WOTC) Newsletter
Related: WOTC Newsletter Archive
