y paying taxes and wages in Indiana, a business may be eligible for the Work Op- portunity Tax Credit (WOTC) and Welfare-to-Work programs.

These efforts encourage employers to hire individuals who either are moving from welfare support into the workforce or face a barrier to employment. Via their participation, qualifying employers may reduce their federal income tax liability as a small measure of compensation for investing extra time and effort to help these people succeed in the workplace.

TARGET GROUPS BRING
Tax Credits to Employers
Under the WOTC program, the hiring of individuals from eight target groups may bring tax credits to employers; these groups of people include:

TANF (welfare) recipients;

Active duty veterans who receive food stamps;

Economically disadvantaged individuals who are ex-felons;

High-risk young individuals;

Individuals referred through vocational rehabilitation programs;

Young people who work during the summer;

Food stamp recipients; and

Individual who receive supplemental security income (SSI).

The Welfare-to-Work tax credit applies to people who have received TANF benefits for at least 18 months; the credit also kicks-in for persons made ineligible for welfare because federal or state law limited how many months those payments could be made.

INDIANA DWD DETAILS 
Various Tax Credit Programs
For details of the Work Opportunity Tax Credit and Welfare-to-Work tax credit programs, including descriptions of target groups and application procedures that include PDF ver- sions of some forms, go to the Indiana Workforce Development web site.  Contact your WorkOne Business Services Representative for more information and assistance.