Does the RC Wage Credit reduce Alternative Minimum Tax (AMT) liability?
Can the RC wage Credit for an employee be taken concurrently with Work Opportunity Tax Credits (WOTC) or Welfare to Work (WtW) Credits? Yes, but wages are not taken into account for the RC Wage Credit if they are being used in determining WOTC or WtW. In addition, the $10,000 cap on wages taken into account for the RC Wage Credit would be reduced by any wages taken into account in computing WOTC or WtW Which categories of employees would not qualify for the RC Wage Credit? The RC Wage Credit cannot be taken for any individual employed at any private or commercial golf course, country club, massage parlor, hot tub facility, suntan facility, racetrack or other gambling facility, or store who’s principal business is the sale of alcoholic beverages for consumption off premises. The RC Wage Credit is not available for family members of the employer, including sons, daughters, parents, stepchildren, stepmothers, stepfathers, in-laws, and other persons treated as dependents under the tax code
