WOTC NEEDS TO BE EXTENDED BY DECEMBER 31, 2019
WOTC PERMANENCY BILLS INTRODUCED
IN THE SENATE AND HOUSE
WOTC Permanency Bills
On April 2, Senators Rob Portman (R-OH) and Ben Cardin (D-MD) along with Senators Roy Blunt (R-MO), Sherrod Brown (D-OH), Bill Cassidy (R-LA) and Bob Menendez (D-NJ) introduced "The Work Opportunity and Jobs Act", S. 978, which would make WOTC permanent. This was followed on April 10 by Congressman Mike Thompson (D-CA) and Tom Reed (R-NY), along with Congressman Bill Pascrell (D-NY), Tom Rice (R-SC) and Tom Suozzi (D-NY), introducing S. 2213, which would also make WOTC permanent. The Senate and House Bills and Press Releases from when the bills were introduced can be found below.
H.R. 2213: https://www.congress.gov/116/bills/hr2213/BILLS-116hr2213ih.pdf
H.R. 2213 Press Release: https://mikethompson.house.gov/newsroom/press-releases/thompson-reed-pascrell-rice-and-suozzi-introduce-bill-to-permanently-extend
S.978 Press Release: https://www.cardin.senate.gov/newsroom/press/release/cardin-portman-lead-bipartisan-bill-to-make-work-opportunity-tax-credit-permanent
Tax Extenders for 2017, 2018 and Disaster Relief Retention Credit
Congress continues to work on moving a tax extenders package for provisions that expired in 2017 and 2018 (Indian Employment Credit and Empowerment Zones) as well as Disaster Tax Relief, including a retention credit for employers located in communities that have been impacted by 2018 hurricanes, wildfires and mudslides.
While NEON continues to advocate for the 2017/2018 tax extenders and Disaster Relief, we are shifting our grassroots efforts towards supporting renewal of the core WOTC program which expires at the end of 2019.
Click on the take action link on the right on the top of the page to immediately send a message to Congress in support for the House and Senate bills.
The Take Action Message is below:
As an employer in your state who actively participates in the Work Opportunity Tax Credit (WOTC) program that will expire on December 31, 2019, I want to urge you to become a cosponsor of H.R. 2213 the Mike Thompson and Tom Reed bill which would make WOTC permanent. WOTC provides me with the resources I need to train and screen for eligible individuals who often have few of the job ready skills that are needed to succeed in the workplace. WOTC works for the government by reducing expenditures on public assistance programs and it works for employers, such as myself, by providing the resources to screen, hire and train those who qualify. I urge you to contact Congressman Mike Thompson and Tom Reed and let them know that you want to cosponsor H.R. 2213.
As an employer in your state who actively participates in the Work Opportunity Tax Credit (WOTC) program that will expire on December 31, 2019, I want to urge you to become a cosponsor of The Work Opportunity Jobs Act, S. 978 which would make WOTC permanent. WOTC provides me with the resources I need to screen and train for eligible individuals who often have few of the job ready skills that are needed to succeed in the workplace. WOTC works for the government by reducing expenditures on public assistance programs and it works for employers, such as myself, by providing the resources to screen, hire and train those who qualify. I urge you to contact Senators Rob Portman and Ben Cardin and let them know that you want to cosponsor S. 978.
According to Dr. Cappelli's studies:
● Employers respond to the tax incentive and change their hiring practices by targeting WOTC eligible individuals.
● The average WOTC hire stays on the job 2.3 years.
● WOTC saved states $3.5 B for FY 2018 in matching and administrative costs for welfare, food stamps, and Medicaid.
● The federal government receives an average net savings of $17,700 per individual just from TANF, SNAP, Medicaid and housing subsidies.
● WOTC is one of the most cost effective hiring programs ever enacted by Congress.
● Over a 10 year period, WOTC saves the federal government $167 B in TANF, SNAP, Medicaid and federal housing subsidies, and saves the states $35 B in TANF, SNAP and Medicaid payments.
● Cappelli Impact of Corporate Tax on Need for WOTC
● WOTC- 2013 study executive summary
● A Detailed Assessment of the Value of WOTC - Cappelli 2013 Study
● Assessing the Value of WOTC 1 Executive Summary
● Cappelli LTUE Study September 2015
How WOTC Works