Hiring Veterans Can Give Physician Practices Tax Advantages

If you’ve recently hired — or will hire this year — a veteran who has been unemployed for at least four weeks during the year prior to the hire date, you may qualify for a tax credit of up to $9,600.

The federal Work Opportunity Tax Credit (WOTC)  is available for veterans hired Nov.22, 2011, through Dec. 31, 2012.

Apply for Certification  

Employers must apply for and receive a certification — in Texas, from the Texas Workforce Commission (TWC) — that the new hire is a member of a target group before they can claim the Work Opportunity Tax Credit. To apply:

  1. Complete page 1 of IRS Form 8850 (Prescreening Notice and Certification Request) by the date of the job offer; and page 2 after the individual is hired.
  2. Complete one of the following U.S. Department of Labor forms:
  • ETA Form 9061 (Individual Characteristics Form), if the new hire has not been given an ETA Form 9062; or  
  • ETA Form 9062 (Conditional Certification Form) if provided to the job seeker by TWC or a participating agency.
  1. Mail the signed/dated IRS and ETA forms to TWC at the address below by these deadlines:
  • For veteran hires made before May 22, 2012 — submit by June 19, 2012.
  • For hires made on or after May 22, 2012 — submit not later than 28 calendar days after the new hire begins work.

Texas Workforce Commission WOTC Unit
101 E. 15th St., Room 202T&
Austin, TX 78778-0001  

Questions? Call TWC at (800) 695-6879.

Claim Credit 

Fill out IRS Form 5884 (Work Opportunity Credit) to calculate the credit and claim the amount, along with other general business credits, on IRS Form 3800 (General Business Credit). File both forms are filed with the IRS.

Published May 8, 2012 

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