Can I Get a Tax Credit for Hiring a Veteran?

Yes — the Work Opportunity Tax Credit (WOTC) provides a federal tax credit to employers who hire workers from certain targeted groups, including veterans. The credit is generally 40% of first-year wages up to $6,000 per employee ($9,600 for qualified disabled veterans who work at least 400 hours). Veterans who received food assistance, have service-connected disabilities, or were unemployed for an extended period qualify under different tiers. To claim the credit, you must request certification from your state workforce agency within 28 days of the employee's start date using Form 8850. The WOTC is non-refundable but carries forward 20 years and back 1 year.