Employers that hire workers who live in Gogebic, Marquette and Ontonagon counties may receive federal tax credits of up to $2,400 per worker this year. The Work Opportunity Tax Credit (WOTC) is aimed at promoting employment in counties designated Rural Renewal Counties based on population shifts.
The credits apply to employees 18 to 39 years old who live in these counties. They must be employed for at least 120 hours in the first year to qualify for a 25% credit, or 400 hours to claim a 40% credit.
To claim the credit, employers must file two forms with the WOTC Unit of the state Unemployment Insurance Agency within 28 days of a worker’s start date:
- Internal Revenue Service Form 8850
- The U.S. Labor Department’s Employment & Training Administration Form 9061
For details, visit www.michigan.gov/uia and follow the quick link to WOTC.