MARYLAND TAX CREDIT FOR BUSINESSES THAT HIRE VETERANS
Tax Incentive as High as $9,600 Per Veteran
Maryland businesses that are looking to take advantage of the expanded Work Opportunity Tax Credit (WOTC) is now available to businesses and certain tax-exempt organizations that hire eligible unemployed veterans. The tax credit is included in the VOW to Hire Heroes Act of 2011, which provides veterans with job training and education while encouraging businesses to hire disabled and unemployed veterans.
The credit can be as high as $9,600 per veteran for for-profit employers or up to $6,240 for tax-exempt organizations. Employers who hire veterans with service-related disabilities may be eligible for the maximum credit. The law allows employers one tax credit per eligible veteran hired. Other factors that affect the amount of the credit include the length of the veteran’s unemployment before hire, hours worked, and the amount of wages paid.
More information about this new tax credit:
The IRS has recently released the guidance and forms that employers can use to claim the newly-expanded tax credit for hiring veterans. For further details, including forms and filing deadlines visit: http://www.irs.gov/businesses/small/article/0,,id=253949,00.html