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Form 8850 online LA: What You Should Know

IRS Form 8850, Pre-Screening Notice and Certification Request for the Work Opportunity Tax Credit How to Earn Income through a Work Opportunity Certificate Eligibility for the Work Opportunity Tax Credit: The Work Opportunity Credit is available to eligible taxpayers who have earned income through work activities. Qualified taxpayers include any worker who is paid a salary from government employment and who meets the eligibility requirements in Section B, below.  Form 8951 (formerly Form 8958) (See Part VII. E. for information about IRS requirements for claiming the credit) The taxpayer must establish proof of employment, (pay stubs or job descriptions, for example). If a state tax credit was awarded prior to the taxpayer's taxable year beginning, the taxpayer may use the earned income tax credit (ETC) or the work opportunity credit (WOC) if the taxpayer is eligible to claim both credits. The earned income tax credit (ETC) is also commonly referred to as the working tax credit (WTC). The Form 8951 (formerly Form 8958) is required for all qualified participants. The Form 8951 must contain: 2. The taxpayer's name and social security number 3. The taxpayer's taxpayer identification number (TIN) if one was issued to the taxpayer 4. The taxpayer's birthdate and the employer (if any) 5. The total amount of the qualifying wages 6. The date the qualifying wages were paid The TIN must be assigned on Form 8951.  Qualifying Wages Amount of Qualifying Earnings Amount of Qualifying Earnings Qualifying wages are wages, salaries, or tips reported to the  employer each pay period. Qualifying Wages Amount of qualifying wages must be determined for an amount of wages, salary, or tips reported to the  employer each pay period. The applicable amount must be determined in the following way: Using Form 2106 to determine the amount of wages or salaries that are paid to an individual, for any pay period, on an hourly basis. This can also be done on Form W-2G, Wage and Tax Statement of Hours Worked. Enter the minimum value in the area marked “Enter at least ...” in the area labeled “Amount of ...” and the greatest of  (0.00) or 100 (for wages or salaries paid to individuals). Enter the minimum value in the area marked “Enter at least ...” in the area labeled “Amount of.

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