Tax Exempt Organizations can Claim Tax Credit for Hiring Veterans

On November 21, 2011 President Obama signed the “3% Withholding Repeal and Job Creation Act” which extended the work opportunity tax credit (WOTC) for hiring veterans through December 31, 2012 and also allowed nonprofits to qualify for the credit via a reduction of payroll taxes. Qualifying veterans are those who are disabled, on government assistance, or who have been unemployed for more than 4 weeks in the year prior to being hired. For nonprofit organizations, the credit could be as much as $6,240 for hiring a disabled and unemployed vet, or as little as $1,560 for hiring an able-bodied vet who has been unemployed for at least 4 weeks in the year prior to being hired. Please contact your tax advisor or payroll specialist to determine your eligibility. See the White House press release at http://www.whitehouse.gov/blog/2011/11/21/president-obama-hire-veteran.