The Work Opportunity Tax Credit (WOTC)

"The Work Opportunity Tax Credit (WOTC) is meant to induce employers to hire members of
families receiving benefits under the Temporary Assistance to Needy Families (TANF) program
and other groups thought to experience employment problems regardless of general economic
conditions (e.g., food stamp recipients and ex-felons). In 1997, Congress passed the Welfare-to-
Work (WtW) tax credit to focus specifically on more disadvantaged TANF recipients. The 109th
Congress folded the WtW credit into a revised WOTC as part of the Tax Relief and Health Care
Act of 2006..."
The Work Opportunity Tax Credit (WOTC)