Tax Credits Blog

WOTC Program Permanency

President Obama submitted his budget for 2014 in April this year, and with it he outlined his plan to cut funding for Social Security, univeral access to pre-kindergarten education for children, cuts to the defense budget, among other things. But, one proposal caught our eye:

"The Administration also continues its support of tax credits that will help employ veterans. The Returning Heroes Tax Credit, which provides up to $5,600 to employers, and the Wounded Warrior Tax Credit, which provides up to $9,600 to hire long-term unemployed veterans with service-connected disabilities, were recently extended for one more year in the American Taxpayer Relief Act of 2012. These credits are a part of the Work Opportunity Tax Credit (WOTC), which contains other categories targeted to hiring veterans. The Budget proposes to permanently extend the WOTC."

From the Budget of the United States Government, Fiscal Year 2014, as reported at  http://www.whitehouse.gov/omb/budget/Overview

Permanently extending WOTC would be a boon to all employers in this company and greatly increase hiring and the pace of American job creation. Of course, the budget has to go through the debate process and both the Senate and House of Representatives will undoubtedly have objections. But if WOTC becomes permanent, never will we have to go through a hiatus period like we did in 2012, and it seems like this administration wants to make it a priority.