The Department of Labor has issued revised and updated forms including the ETA 9061 Individual Characteristics Form and ETA 9175 Long Term Unemployment Recipient Self Attestation Form.
There are significant changes on both forms, simplifying and clarifying the requirements for Long Term Unemployment Recipients or LTURs. Number 23 on ETA 9061 has been reduced from a double-parted (2 check boxes) to a single-check box question. The new language is easier to understand and less likely to trip-up new hires. (more…)
Hello friends and readers, this is Vaughn Hromiko, here. This post is meant as a question to employers and agents . . . and anyone involved with the Work Opportunity Tax Credit program. I would love to hear from you.
The Question: How do you (or your CPA, or your company, or others you have observed), handle the claiming of Work Opportunity Tax Credits for employees whose WOTC certifications are delayed until after the tax-return filing deadline?
The IRS has issued a revision of IRS Form 8850 “Pre-Screening Notice and Certification Request for the Work Opportunity Credit.” This revision was made necessary by the recent Protecting Americans from Tax Hikes Act of 2015 (PATH Act), which added a new target group to the WOTC program. The form now includes a question to screen for Long Term Unemployment Recipients.
Question number 7 at the bottom reads: (more…)
I received a system-generated update from the Kentucky Work Opportunity Tax Credit Office this morning. If you have dealings with that office, perhaps you also received it.
It looks like the guidance provided in IRS Notice 2016-22 regarding the new WOTC Target Group (Long Term Unemployment Recipients) might be a little obsolete already. Here’s the language I received this morning. (more…)
IRS Notice 2016-22 can now be found on the IRS website through a Google search. Click the link to get your copy.
In a nut shell, for employees hired from January 1, 2015 through May 31, 2016 (inclusive), the usual 28-day application deadline has been extended through June 29, 2016. That’s good. (more…)
A few friends of the blog have contacted me recently, asking if the IRS has issued its notice on transition relief for the re-authorized WOTC program. Not yet. Nor has the Department of Labor or IRS issued revised forms for 2016 to reflect the new Long Term Unemployment Recipient target group.
Here’s to continued patience and hoping we see something soon….
This week, the Department of Labor’s Employment and Training Administration issued new instructions to State Workforce Agencies (SWA’s). Agencies needed instructions in the wake of the WOTC re-authorization provided by the Protecting Americans From Tax Hikes (PATH) Act of 2015. President Obama signed this bill on December 18, 2015.
The document summarizes the program changes and other effects created by the PATH Act. It also guides SWA’s on what to do with applications that were submitted timely (within 28 days from start of employment) in 2015 during the 49-week WOTC authorization lap. As a result, employers nationwide should now begin receiving certifications for their 2015 qualifying hires. (more…)
The recent re-authorization and expansion of the Work Opportunity Tax Credit (WOTC) includes a new WOTC target group. Reading from the statute, a “Long-term Unemployment Recipient” is defined as an individual “being in a period of unemployment which— (A) is not less than 27 consecutive weeks, and (B) includes a period in which the individual was receiving unemployment compensation under State or Federal law.’’ (more…)