FOR IMMEDIATE RELEASE
|DATE: December 28, 1999||CONTACT:||Jeanne_Walker|
|NO: 00-26||PHONE:||(907) 465-5953|
Commissioner of Labor and Workforce Development, Ed Flanagan, announced today that two federal programs that provide employer tax savings, the Work Opportunity Tax Credit and the Welfare-to-Work Tax Credit programs have been extended through December 31, 2001. "Both provide employer tax credits as incentives to hire from target groups, and both are important parts of the diverse strategies designed to help workers gain on-the-job experience," said Commissioner Flanagan.
Signed into law by President Clinton on December 17, 1999, the Work
Opportunity Tax Credit extension makes the program retroactive to its expiration date of
June 30, 1999, in addition to extending it to the Welfare-to-Work Tax Credit program
though December 31, 2001. Tax credits of up to $2,400 per eligible worker will continue to
be available under the Work Opportunity Tax Credit program, and as much as $3,500 for the
first year and up to $5,000 for the second year per eligible worker under the
Welfare-to-Work Tax Credit program.
In Alaska, the program target groups are qualified AFDC recipients, qualified food stamp recipients (age 18-24), qualified veterans (must be a member of a family that receives food stamps), qualified ex-felons (must be a member of a low-income family), vocational rehabilitation referrals, and Supplemental Security Income (SSI) recipients.
Both tax credit programs are administered through the department's Employment Security Division. Employers can find detailed information about these programs at: www.labor.state.ak.us and can pick up the appropriate forms at any Alaska Job Center Office, the Internal Revenue Service, or by calling toll-free (800) 829-3676.
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