The IRS released a bulletin today explaining the new WOTC categories established by the VOW to Hire Heroes Act of 2011 which was enacted Nov. 21, 2011. The Service also provided more detailed guidelines as well as an update form 8850.
The guidelines introduce three significant changes to the mechanics of the program:
1. Since the the Act became effective immediately upon passage, the IRS has suspended the normal 28 day deadline for completion of 8850 forms. For the new veteran categories, taxpayers may complete and submit 8850 forms for any qualified employees hired between Nov. 22, 2011 and May 22, 2012 by June 19, 2012. The 28-day rule goes back into effect for employees hired on or after May 22.
2. The IRS is allowing that 8850 forms may be submitted by fax if the State agency is able to accept them that way.
3. The IRS is allowing the 8850 forms to be signed electronically and for states without electronic submission systems, these electronically signed documents may be submitted in hard copy or by fax.