CMS Work Opportunity Tax Credit Newsletter April 2025

In this issue:

• How are Work Opportunity Tax Credits Calculated?
• CMS WOTC Screening Services
• Update to WOTC Administration Portal
• Understanding the Work Opportunity Tax Credit’s Target Groups: SNAP Benefits Recipient
• #ICYMI

 

How are Work Opportunity Tax Credits Calculated?

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 it Better to Use Paper or Go Online with the WOTC Forms?
• What is the minimum wage for WOTC Tax Credit?
• Are my rehires eligible for the Work Opportunity Tax Credit?

CMS WOTC Screening Services

Share this video with your colleagues, or anyone who needs to get up-to-speed on the Work Opportunity Tax Credit.

 

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.

 

Understanding the Work Opportunity Tax Credit’s Target Groups: SNAP Benefits Recipient

New hires who fall under one or more of WOTC’s Target Groups may make you eligible for a WOTC Tax Credit. Target Group #8 is the SNAP Benefits Recipient. 1,063,576 individuals were hired with certification from this group in 2024, 67.4% of the total.

A “qualified SNAP benefits recipient” is an individual who on the hiring date is:

• At least 18 years old and under 40 and
• A member of a family that received SNAP benefits for:
  • the previous 6 months or
  • at least 3 of the previous 5 months

The maximum tax credit available for hiring a qualified SNAP Benefits Recipient is $2,400.

 

#ICYMI