- The categories of high-risk youth and summer youth employees now include qualified individuals who live in renewal communities
and begin
work for you after December 31, 2001.
- The work opportunity credit and the welfare-to-work credit are now allowed for qualified individuals who begin work for you
before January
1, 2004.
Employers use Form 8850 to pre-screen and to make a written request to a state employment security agency (SESA) to certify
an individual as:
- A member of a targeted group for purposes of qualifying for the work opportunity credit or
- A long-term family assistance recipient for purposes of qualifying for the welfare-to-work credit.
Submitting Form 8850 to the SESA is but one step in the process of qualifying for the work opportunity credit or the welfare-to-work
credit. The
SESA must certify the job applicant is a member of a targeted group or is a long-term family assistance recipient. After starting
work, the employee
must meet the minimum number-of-hours-worked requirement for the work opportunity credit or the minimum number-of-hours, number-of-days
requirement
for the welfare-to-work credit. The employer may elect to take the applicable credit by filing Form 5884, Work Opportunity Credit, or
Form 8861, Welfare-to-Work Credit.
Note:
Do not use Form 8850 with respect to New York Liberty Zone business employees. Certification is not required for these employees.
See
Form 8884, New York Liberty Zone Business Employee Credit, for details.
Who Should Complete and Sign the Form
The job applicant gives information to the employer on or before the day a job offer is made. This information is entered
on Form 8850. Based on
the applicant's information, the employer determines whether or not he or she believes the applicant is a member of a targeted
group (as defined under
Members of Targeted Groups on page 2) or a long-term family assistance recipient (as defined under Welfare-to-Work Job
Applicants on page 2). If the employer believes the applicant is a member of a targeted group or a long-term family assistance recipient,
the
employer completes the rest of the form no later than the day the job offer is made. Both the job applicant and the employer
must sign Form 8850 no
later than the date for submitting the form to the SESA.
