Temporary Assistance/Case Management Manual

0225.060.00 Targeted Jobs Tax Credit

The Targeted Jobs Tax Credit program provides a tax deduction for any employer hiring persons from a targeted group, including Temporary Assistance.  This elective tax credit can be applied to wage costs incurred by an employer.  The credit is limited to 40 percent of first year wages up to $6,000 or a maximum credit of $2,400.

To qualify an employer for the tax credit, the Temporary Assistance participants must receive Temporary Assistance financial assistance during the 90-day period immediately preceding the date the individual is hired by the employer.  In addition, the employer must request in writing that DES certify the tax credit PRIOR to the individual beginning work.

DES is responsible for certifying for employers those individuals who qualify the employer for the Targeted Jobs Tax Credit.  To do this, DES contacts FSD to determine the individual’s dates of receipt of Temporary Assistance assistance.  Cooperate with DES and provide this information upon request.