Many federal and state employment tax credits are available to businesses yet thousands of dollars go unclaimed every year. Why? Although tax credits can be lucrative for a business, they are complex to identify and recoup. But you should not let the complexity of employment tax credit programs hinder you from pursuing them. They are a “low-hanging fruit” opportunity to increase your bottom line.
The most opportune way for you to pursue employment tax credits is to partner with an experienced firm who already has a proven track record for claiming millions of dollars in tax credits.
HKP already has an established tax credit department with full-time staff to research, apply and recoup your employment tax credits. With our experience, you can count on us to uncover the tax credits for which you are qualified. Our superior, accessible people will provide all the help you’ll need, whether it’s quickly answering a question, untangling “government speak” or simply talking to you about our Tax Credit Program. To ensure we are taking advantage of all the possible incentives on both federal and state tax credit levels, our in-house tax department provides continuous, thorough tax credit research.
Here is a snapshot of current employment tax credits we aggressively pursue for our clients:
Federal Tax Credits
Work Opportunity Tax Credit (WOTC)
Program: Up to $2,400 per employee
You may qualify if you have employees who fit in these categories:
- Short Term Temporary Assistance for Needy Families (TANF)
- Disabled or unemployed veterans
- Vocational rehabilitation referral
- Summer youth
- Supplemental Security Income recipient
- Food stamp recipient
- Designated community resident
- Long Term Temporary Assistance for Needy Families (TANF) – up to $9,000 credit!
The VOW to Hire Heroes Act was signed into law in November, 2011 and enhances existing credits and creates new incentives for businesses hiring certain qualifying veterans. The Act creates the Returning Heroes Tax Credit and the Wounded Warrior Tax Credit — both Work Opportunity Tax Credits (WOTC). Each qualified new hire may be worth up to $2,400, or in some cases up to $9,600 in federal tax credits.
State Tax Credits
Each state tax credit program varies, but the following are some examples of state tax credits commonly pursued:
- Enterprise Zone credits
- Hiring disadvantaged workers
- Hiring credits and refunds
- Job creation credits
- Veterans credits
Who do we work with?
HKP pursues federal and state tax credits for organizations in all 50 states. In our experience, organizations with over 100 employees with high turnover of hourly employees tend to receive the biggest benefit from the federal and state employment tax credits. Not an exclusive list, here are some sample industries:
- Call centers
- Health care
- Restaurants & fast food chains
- Convenience stores
Stay up-to-date with the latest news on tax credits in our blog.