New tax credit helps Minnesota businesses hire veteransU.S. Senator Amy Klobuchar is encouraging Minnesota businesses to take advantage of a new tax credit made available this month aimed at helping businesses hire veterans.
U.S. Senator Amy Klobuchar is encouraging Minnesota businesses to take advantage of a new tax credit made available this month aimed at helping businesses hire veterans. Klobuchar cosponsored the VOW to Hire Heroes Act, passed into law last November, which offers an expanded Work Opportunity Tax Credit (WOTC) to businesses and certain tax-exempt organizations that hire eligible unemployed veterans.
Klobuchar has recently introduced two bills to help returning veterans use the skills they have acquired in the military to get good jobs. This month she introduced bipartisan legislation with Senator Olympia Snowe (R-ME) that would streamline the process of receiving a Commercial Driver’s License (CDL) for veterans with the requisite driving experience from their military service. Last year she also introduced bipartisan legislation with Senator Mike Enzi (R-UT) that would streamline civilian paramedic training for veterans who already have emergency medical experience as the result of their military service, making it easier for them to secure jobs as civilian paramedics.
“Our men and women in uniform demonstrate leadership, courage, and skill under pressure every day defending our country, and they should be able to use this experience in the workplace when they come home.” Klobuchar said. “This tax credit gives Minnesota businesses one more reason to hire our veterans, and I will continue to work to ensure that our soldiers can use their skills learned in the military to secure good jobs at home.”
The Work Opportunity Tax Credit can be as high as $9,600 per veteran for for-profit employers or up to $6,240 for tax-exempt organizations. Employers who hire veterans with service-related disabilities may be eligible for the maximum credit. The law allows employers one tax credit per eligible veteran hired. Other factors that affect the amount of the credit include the length of the veteran’s unemployment before hire, hours worked, and the amount of wages paid.
More information about this new tax credit:
The IRS has recently released the guidance and forms that employers can use to claim the newly-expanded tax credit for hiring veterans. For further details, including forms and filing deadlines visit: http://www.irs.gov/businesses/small/article/0,,id=253949,00.html