Many employers are familiar with the tax credit programs that provide incentives for hiring, but they may not realize that technology partners exist to make qualifying candidates and applying for tax credits a painless process. JazzHR is excited to welcome RetroTax to our integration ecosystem to help customers uncover hidden hiring incentives through participation in the Work Opportunity Tax Credit program.
Let’s break it down. What is WOTC?
The WOTC program is a federal income tax credit that incentivizes businesses to hire employees from demographic categories that often face significant barriers to employment. The benefits of participating in the WOTC program are two-fold; employers lower their federal tax liabilities by hiring workers from targeted groups and they gain workers who are just as likely to be motivated performers in the workplace as their non-WOTC eligible peers.
In many cases, the tax credit equals 40% of eligible wages paid to an employee during the first year of employment, up to a maximum of $6,000 of wages, which translates to a credit of $2,400 per employee. However, there are several exceptions to this general rule as a result of a variety of factors. Luckily, employers can leverage technology partners, such as RetroTax, to streamline their participation in tax-credit programs.
How can RetroTax help?
RetroTax is dedicated to simplifying the tax credit application process for businesses of all sizes by screening applicants for eligibility, identifying maximum available credits, and filing for the credits on behalf of the employer once a candidate is hired. As you screen your candidate pipeline and perform interviews, the experts at RetroTax will assist with qualifying candidates for potential tax credits. After the initial qualification, RetroTax handles the certification process from start to finish, including gathering and submitting all necessary documentation to generate the credits.
The integration between JazzHR and RetroTax allows you to automatically send all candidates an online tax credit questionnaire. Candidates may complete this questionnaire as part of the initial screening process or after they are hired, dependent on how you choose to incorporate this program into your recruiting process.
In short, RetroTax helps organizations turn HR into a profit center and all of their work is on a contingent fee, which means no risk, all reward!
Getting Started with JazzHR and RetroTax
Simply integrate your JazzHR account with RetroTax to fully streamline this process by centralizing the collection and submission of new-hire information. For detailed instructions, please refer to the JazzHR knowledge base article or schedule a live walkthrough of this new integration.