WOTC Extension: Form 8850 Filing Deadline Extended

Noting that the uncertainty around the Work Opportunity Tax Credit and its prolonged hiatus in 2014 affected employers’ hiring and tax planning strategies, the IRS has issued notice 2015-13 that provides “transition relief” for employers to submit WOTC certification requests for any employee hired between January 1, 2014 and December 31, 2014. The deadline for submission of these forms is April 30, 2015.  This is not unprecedented – recall a similar, albeit much shorter transition relief was enacted as part of the Vow to Hire a Hero Act of 2011, and as part of American Taxpayer Relief Act of 2012.

If your company has not previously participated in the WOTC program, this is an unprecedented chance to recapture more than a year’s worth of missed credit opportunities that drive value and deliver bottom line tax savings of up to $9,600 per eligible hire.  If you currently screen for WOTC but are not at 100% screening compliance, Equifax can audit your previous screening results to identify and help you secure any missed credit opportunities.  Also, unlike previous relief periods, with the advent of Equifax eSignature on both our phone-in screening system and online screening application, any missed individuals who are identified as possibly credit eligible can now electronically sign a fully compliant tax credit screening without the need for paper forms to be processed or managed, leading to a more efficient and value generating process.

If your company is interested in receiving more information on this or any other credit, please contact Pete Krieshok of Equifax Workforce Solutions at 314-214-7325 or by email at Pete.Krieshok@equifax.com.