A worker hired by a business filing corporate tax return or filing business tax return of any type of entity would be a member of a targeted group if they are certified by the state workforce agency (SWA) to be one of the following:
All employers regardless of which type of tax form they file business tax return on a corporate tax return, S corporation income tax return, a tax return for LLC, or any income tax return for small business, must obtain certification that an individual is a member of a targeted group before claiming the Work Opportunity Credit. Employers must request certification for each employee from the state workforce agency (SWA) by the day the individual begins work, or complete Form 8850, Pre-Screening Notice and Certification Request for the Work Opportunity Credit, on or before the day the employer filing business tax returns offers the job to the potential employee. Qualified tax-exempt organizations may claim the credit for qualified veterans. To claim the work opportunity tax credit, they file Form 5884-C Work Opportunity Credit for Qualified Tax-Exempt Organizations Hiring Qualified Veterans.