The WOTC program experienced some unique challenges in 2014 stemming from the late December renewal. Although the renewal was retroactive, it created a hardship for employers seeking to take advantage of these lucrative tax credits.
The IRS recently announced Notice 2015-13, which will provide some much needed relief for employers seeking WOTC credits from 2014.
The problem that everyone has experienced is a loss of time resulting in missed credits due to the traditional 28-day submission window after a new hire’s start date.
With this provision ANY employer can currently submit all of their 2014 new hires for credit qualification!
This is a nearly unprecedented move by the IRS. Since the inception of WOTC in 1996, this is only the second time such an extension has been made available.
In reality, this means that all WOTC participating employers can go back and double check that all of their 2014 new hires were submitted for credit. For those employers that haven’t participated before, this is the absolute perfect time to get started and receive retroactive credits for all 2014 new hires! This is the best scenario for all of those we talked to that were heavily considering WOTC last year but held off because of the pending renewal.
There’s only one catch to this relief measure and that is the April 30, 2015 deadline. This means that ALL 2014 applications must be submitted by this date or they will not be processed.
To learn more about IRS Notice 2015-13 and how it applies to your business, email troyloney@taxcreditmgmtgroup.com now before time runs out.
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