--- title: Does Your Business Qualify for the Work Opportunity Tax Credit (WOTC)? description: Learn if your business qualifies for the WOTC tax credit. Find out eligibility criteria, potential values, and how to apply with Swift Tax Credits. image: https://www.megapayusa.com/hubfs/Canva%20images/Canva%20Design%20DAF-kNFQDl8.png --- [![Megapay](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/logo-1.svg) ![Megapay](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/logo-white.svg)](https://www.megapayusa.com/) [How We’re Different](https://www.megapayusa.com/how-we-are-different) Payroll + More ## Feature-rich software. Stress-free services. A full suite of payroll, timekeeping, and Human Resources tools and services helps your business run – and grow. ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/service-menu.png) [Meet the platform.](https://www.megapayusa.com/platform) Harness the power of our cloud-based, fully integrated platform, customized to 10+ industries ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/service-menu-icon-3.svg) [Payroll](https://www.megapayusa.com/payroll) [Pay Options](https://www.megapayusa.com/payroll#payroll-pay-options) [Reporting](https://www.megapayusa.com/payroll#payroll-reporting-tracking) [Tracking](https://www.megapayusa.com/payroll#payroll-reporting-tracking) [Financing](https://www.megapayusa.com/payroll#payroll-financing) [Compliance](https://www.megapayusa.com/payroll#payroll-compliance) [Deductions](https://www.megapayusa.com/payroll#payroll-additional-services) [Workers Comp](https://www.megapayusa.com/payroll#payroll-additional-services) ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/service-menu-icon-2.svg) [Timekeeping](https://www.megapayusa.com/timekeeping) [Scheduling](https://www.megapayusa.com/timekeeping#timekeeping-scheduling) [Tracking](https://www.megapayusa.com/timekeeping#timekeeping-tracking) [Compliance](https://www.megapayusa.com/timekeeping#timekeeping-compliance) [Devices](https://www.megapayusa.com/timekeeping#timekeeping-devices) ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/service-menu-icon-1.svg) [Human Resources](https://www.megapayusa.com/hr) [Onboarding](https://www.megapayusa.com/hr#hr-onboarding) [Compliance](https://www.megapayusa.com/hr#hr-compliance) [Benefits](https://www.megapayusa.com/hr#hr-benefits) [Pricing](https://www.megapayusa.com/pricing) [Become a Partner](https://www.megapayusa.com/partners) Resources ## Resources for growing companies. A suite of videos, tools, and templates for you and your people. ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/resources-menu-icon-2.svg) [Video Library](https://www.megapayusa.com/videos) Learn the ins and outs of the Megapay platform - and get it all done even faster. ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/resources-menu-icon-3.svg) [HR Tools](https://megapayusa.portal.zywave.com/) HR videos, customizable handbook templates, onboarding & offboarding forms, and more. [Human Resources NEW](https://www.megapayusa.com/human-resources) [News](https://www.megapayusa.com/the-mega-pulse) Client Login ## Select an account to log in. Payroll [Payroll (new)](https://megapayusa.evolutionpayroll.com/hcm/#/) [Payroll (old)](https://secure.netlinksolution.com/nextgen/?firm=404480) [Payroll + HR](https://megapayusa.evolutionadvancedhr.com/Secure/Home.aspx) [For Employees](https://megapayusa.evolutionpayroll.com/ess#/login) Swipeclock [For Employers](https://megapayusa.payrollservers.us/pg/login.aspx) [For Employees](https://clock.payrollservers.us/#/clock/web/login) HR Support [HR Live Support](https://www.megapayusa.com/human-resources) [HR 360](https://www.megapayusa.com/hr) [Contact Sales](https://www.megapayusa.com/contact) [Home](https://www.megapayusa.com/) [How We’re Different](https://www.megapayusa.com/how-we-are-different) Payroll + More ## Feature-rich software. Stress-free services. A full suite of payroll, timekeeping, and Human Resources tools and services helps your business run – and grow. ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/service-menu-icon-1.svg) [Payroll](https://www.megapayusa.com/payroll) [Pay Options](https://www.megapayusa.com/payroll#payroll-pay-options) [Reporting](https://www.megapayusa.com/payroll#payroll-reporting-tracking) [Tracking](https://www.megapayusa.com/payroll#payroll-reporting-tracking) [Financing](https://www.megapayusa.com/payroll#payroll-financing) [Compliance](https://www.megapayusa.com/payroll#payroll-compliance) [Deductions](https://www.megapayusa.com/payroll#payroll-additional-services) [Workers Comp](https://www.megapayusa.com/payroll#payroll-additional-services) ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/service-menu-icon-2.svg) [Timekeeping](https://www.megapayusa.com/timekeeping) [Scheduling](https://www.megapayusa.com/timekeeping#timekeeping-scheduling) [Tracking](https://www.megapayusa.com/timekeeping#timekeeping-tracking) [Compliance](https://www.megapayusa.com/timekeeping#timekeeping-compliance) [Devices](https://www.megapayusa.com/timekeeping#timekeeping-devices) ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/service-menu-icon-3.svg) [Human Resources](https://www.megapayusa.com/hr) [Onboarding](https://www.megapayusa.com/hr#hr-onboarding) [Compliance](https://www.megapayusa.com/hr#hr-compliance) [Benefits](https://www.megapayusa.com/hr#hr-benefits) ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/service-menu.png) [Meet the platform.](https://www.megapayusa.com/platform) Harness the power of our cloud-based, fully integrated platform, customized to 10+ industries [Pricing](https://www.megapayusa.com/pricing) [Become a Partner](https://www.megapayusa.com/partners) Resources ## Resources for growing companies. A suite of videos, tools, and templates for you and your people. ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/resources-menu-icon-2.svg) [Video Library](https://www.megapayusa.com/videos) Learn the ins and outs of the Megapay platform - and get it all done even faster. ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/resources-menu-icon-3.svg) [HR Tools](https://megapayusa.portal.zywave.com/) HR videos, customizable handbook templates, onboarding & offboarding forms, and more. [Human Resources NEW](https://www.megapayusa.com/human-resources) [news](https://www.megapayusa.com/the-mega-pulse) client login ## Select an account to log in. Payroll [Payroll (new)](https://megapayusa.evolutionpayroll.com/hcm/#/) [Payroll (old)](https://secure.netlinksolution.com/nextgen/?firm=404480) [Payroll + HR](https://megapayusa.evolutionadvancedhr.com/Secure/Home.aspx) [For Employees](https://megapayusa.evolutionpayroll.com/ess#/login) Swipeclock [For Employers](https://megapayusa.payrollservers.us/pg/login.aspx) [For Employees](https://clock.payrollservers.us/#/clock/web/login) HR Support [HR Live Support](https://www.megapayusa.com/human-resources) [HR 360](https://www.megapayusa.com/hr) [contact sales](https://www.megapayusa.com/contact) [![Megapay](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/logo-footer.svg)](https://www.megapayusa.com/) Payroll, personally™ Megapay is an all-in-one customizable payroll, timekeeping and HR software that offers built-in support from dedicated personal payroll experts. About Megapay [Home](https://www.megapayusa.com/) [How We're Different](https://www.megapayusa.com/how-we-are-different) [For Partners](https://www.megapayusa.com/partners) [Pricing](https://www.megapayusa.com/pricing) [Contact](https://www.megapayusa.com/contact) Explore Platform [Payroll](https://www.megapayusa.com/payroll) [Timekeeping](https://www.megapayusa.com/timekeeping) [Human Resources](https://www.megapayusa.com/hr) [Premium HR Tools](https://www.megapayusa.com/hr360) Resources [HR 360](https://www.megapayusa.com/hr360) Contact us [Call us! 855 634 2729](tel:8556342729) [hello@megapayusa.com](mailto:hello@megapayusa.com) [25 Robert Pitt Dr | Ste #218 Monsey, NY 10952](https://goo.gl/maps/whjTESbpgrTTxLNL6) Follow us Copyright Megapay Inc. All Rights Reserved. [< Return to the blog](https://www.megapayusa.com/blog/all) ![](https://www.megapayusa.com/hubfs/Canva%20images/Canva%20Design%20DAF-kNFQDl8.png) [Federal](https://www.megapayusa.com/blog/tag/federal) [Payroll & Tax](https://www.megapayusa.com/blog/tag/payroll-tax) # Does Your Business Qualify for the Work Opportunity Tax Credit (WOTC)? The [**Work Opportunity Tax Credit (WOTC)**](https://www.irs.gov/businesses/small-businesses-self-employed/work-opportunity-tax-credit) is a federal tax credit available to businesses that hire individuals from certain target groups who have faced significant barriers to employment. Businesses have the possibility to receive a credit between $375 and $9,600, depending on eligibility. The WOTC aims to encourage diversity in the workplace and enhance job prospects for American workers. But are you, as an employer, eligible for this credit?  Let's find out. MegaPay has joined forces with [Swift Tax Credits](https://www.swifttaxcredits.com/) to counsel you on the process. If your business is eligible, Swift Tax will take care of the entire process for you. From paperwork to maximizing your credits, the professional team at Swift Tax will make sure you take full advantage of the WOTC opportunity.  ## Who is Eligible?   To qualify for the WOTC, your staff must comprise of specific employees that include:  - Qualified short-term and long-term IV-A recipients (Temporary Assistance for Needy Families) - Qualified veterans - Ex-felons - Designated community residents (DCR) - Vocational rehabilitation referrals - Summer youth employees - Supplemental Nutrition Assistance Program (SNAP) recipients - Supplemental Security Income (SSI) recipients - Qualified long-term unemployment recipients The WOTC also has ineligibility guidelines. These include:  - Relatives or dependents of the business owner  - The company's majority owners  - Formerly employed persons, now rehired (does not include summer youth)  ## Potential Value of the WOTC A [WOTC credit equal to 40% of the first $6,000](https://dol.ny.gov/wotc-program) in qualified first-year wages, for a maximum credit of $2,400. Qualified individuals must complete at least 120 hours of work to qualify for the partial WOTC credit of $1,500, and over 400 hours for the full $2,400 credit.  Additional criteria may also apply, like: - How much said worker earned during the first year of employment  - How many hours the employee worked  - The demographic they fall under is a rural renewal county or empowerment zone A taxable business can apply the credit against income tax liability. Employers can also roll over the current year's unused WOTC back a year and then forward it up to 20.  ## New York Youth Jobs Program Tax Credit In addition to the WOTC, some states have credits you can take advantage of based on different criteria. For example, the [New York Youth Jobs Program](https://www.tax.ny.gov/pit/credits/ny_youth_works.htm) is a tax credit program that provides employers with a refundable tax credit for hiring eligible, at-risk youth ages 16 to 24. The credit amount can be up to $7,500 per eligible employee and can be claimed for up to two consecutive six-month periods. To be eligible, both the employer and the employee must meet certain qualifications. The employer must be certified by the New York State Department of Labor to participate in the program and must hire qualified employees between January 1 and December 31 of the program year, and the employee must be between the ages of 16 and 24 when they start work. There are different credit amounts depending on whether the employee is hired for a full-time or part-time position, with higher credits being offered for full-time employment. Additionally, the program requires employers to submit an annual final certificate of tax credit issued by the New York State Department of Labor with their [Form CT-635](https://www.tax.ny.gov/pdf/current_forms/ct/ct635.pdf) or IT-635 to claim the credit. Swift Tax can assist businesses in navigating the requirements and maximizing their tax credits. With our expertise, we can help you identify eligible employees and complete the necessary forms to claim your credits effectively. By taking advantage of programs employers not only benefit financially but also contribute to addressing youth unemployment and promoting access to quality job opportunities for at-risk youth. Let Swift Tax guide you through the process and optimize your tax benefits while making a positive impact on your community.   ### Applying  with Swift Tax Credits  If you are interested in taking advantage of the WOTC or New York Youth Jobs Program, [click here to fill out this form](https://c--JJ04.na1.hs-sales-engage.com/s3t/c/5/f18dQhb0V1-gmb8c83mBW58M6tb2zGCwVN8Jbw_8QsRtKVnNpFg7gbDDxW16gGBb5CpMvQ101?te=W3R5hFj4cm2zwW3zfPSj4cRxDWW4fNR0C3FcJSPW3T3S1x3Fbt5Sw1Q4Xdm9472&si=8000000001613386&pi=dec036b9-c6d4-4a68-cc8a-1e7eada881a5.) and a team member from Swift Tax Credits will reach out. The WOTC is not the only incentive program you as an employer can take advantage of. However, navigating these opportunities requires a solid grasp of tax law and programs. [Swift Tax Credits](https://www.swifttaxcredits.com/) consists of accountants skilled in payroll. They use their know-how to expedite complex processes, making sure clients always get the full amount they deserve.  Related articles [Browse all articles](https://www.megapayusa.com/blog/all) [Federal](https://www.megapayusa.com/blog/tag/federal) [Payroll & Tax](https://www.megapayusa.com/blog/tag/payroll-tax) [HR](https://www.megapayusa.com/blog/tag/hr) ### Can I Hire an Employee Without a Social Security Number? Simply put, no. A person needs a Social... [Read more](https://www.megapayusa.com/blog/hire-employee-without-social-security-number) [Timekeeping](https://www.megapayusa.com/blog/tag/timekeeping) [State](https://www.megapayusa.com/blog/tag/state) ### New York’s Spread of Hours: What Employers Need to Know When managing a business in New York,... [Read more](https://www.megapayusa.com/blog/spread-of-hours) [Federal](https://www.megapayusa.com/blog/tag/federal) [Payroll & Tax](https://www.megapayusa.com/blog/tag/payroll-tax) [State](https://www.megapayusa.com/blog/tag/state) ### Get Tax Credits for Helping Employees With Childcare We recently recorded a conversation... [Read more](https://www.megapayusa.com/blog/get-tax-credits-for-helping-employees-with-childcare) [Browse all articles](https://www.megapayusa.com/blog) ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/line-blue.svg) ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/line-purple-2.svg) Sign up for Emails ## Get important payroll updates – written in plain English. Sign up [![Megapay](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/logo-footer.svg)](https://www.megapayusa.com/) Payroll, personally™ Megapay is an all-in-one customizable payroll, timekeeping and HR software that offers built-in support from dedicated personal payroll experts. About Megapay [Home](https://www.megapayusa.com/) [How We're Different](https://www.megapayusa.com/how-we-are-different) [For Partners](https://www.megapayusa.com/partners) [Pricing](https://www.megapayusa.com/pricing) [Contact](https://www.megapayusa.com/contact) Explore Platform [Payroll](https://www.megapayusa.com/payroll) [Timekeeping](https://www.megapayusa.com/timekeeping) [Human Resources](https://www.megapayusa.com/hr) [Premium HR Tools](https://www.megapayusa.com/hr360) Resources HR 360 [Video Library](https://www.megapayusa.com/videos) [HR Tools](https://megapayusa.portal.zywave.com/Landing) [Labor Law Posters](https://www.megapayusa.com/blog/labor-law-posters-for-every-state) Contact us [Call us! 855 634 2729](tel:8556342729) [hello@megapayusa.com](mailto:hello@megapayusa.com) [33 Downtown Dr | Ste #420 Monsey, NY 10952](https://maps.app.goo.gl/wSnPfKMZSE52vtBD8) Follow us Copyright Megapay Inc. All Rights Reserved. Website content provided is for informational purposes only and is not legal or professional advice. Each situation is unique; please consult a qualified professional for guidance specific to your case. We are here to answer your questions and help you with any of your payroll processing, time-keeping, and HR compliance needs. ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/pop-btn-icon-1.svg)Payroll ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/pop-btn-icon-2.svg)HR ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/pop-btn-icon-3.svg)Timekeeping ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/pop-btn-icon-4.svg)Benefits ![](https://www.megapayusa.com/hubfs/raw_assets/public/Megapay/images/pop-btn-icon-5.svg)Onboarding Download our Chrome Extension! Make your Megapay online experience more simple and seamless than ever with our free Chrome extension. [Download here](https://chromewebstore.google.com/detail/megapay-usa/ggbbnmhpldgcccpchkjcmpcbjalnhegg?authuser=0&hl=en&pli=1) ```json { "@context" : "https://schema.org", "@type" : "BlogPosting", "author" : { "@type" : "Person", "name" : "Megapay", "url" : "https://www.megapayusa.com/blog/author/megapay" }, "dateModified" : "2024-03-27T15:12:55.393Z", "datePublished" : "2024-03-04T16:27:14.000Z", "headline" : "Does Your Business Qualify for the Work Opportunity Tax Credit (WOTC)?", "image" : [ "https://www.megapayusa.com/hubfs/Canva%20images/Canva%20Design%20DAF-kNFQDl8.png" ], "mainEntityOfPage" : { "@id" : "https://www.megapayusa.com/blog/wotc", "@type" : "WebPage" }, "publisher" : { "@type" : "Organization", "logo" : { "@type" : "ImageObject", "url" : "https://www.megapayusa.com/hubfs/Logo%20Full%20Color@8x-1.png" }, "name" : "MegaPay USA" } } ```