West Virginia West Virginia Military Incentives Credit

West Virginia Military Incentives Credit
Schedule J
West Virginia
Military Incentives Credit

Schedule

J

Rev. 09-12
West Virginia
State Tax
Department

Tax Year
Ending
Name(s) shown on tax return
Your social security number
Employer Name
Tax Identification Number
(1)
Veteran’s or Member’s
Name & Social Security
Number
Name (Last, First, MI)

a

________________________
SSN ____________________
Name (Last, First, MI)

b

________________________
SSN ____________________
Name (Last, First, MI)

c

________________________
SSN ____________________
Name (Last, First, MI)

d

________________________
SSN ____________________
Name (Last, First, MI)

e

________________________
SSN ____________________

(2)
Category – Check one
(if disabled check box and
enter percent of disability.)

□ Disabled
□ Disadvantaged
□ National Guard
□ Reserves

__%

□ Disabled
□ Disadvantaged
□ National Guard
□ Reserves

__%

□ Disabled
□ Disadvantaged
□ National Guard
□ Reserves

__%

□ Disabled
□ Disadvantaged
□ National Guard
□ Reserves

__%

□ Disabled
□ Disadvantaged
□ National Guard
□ Reserves

__%

(3)
Period of
Employment during
tax year.

30%

Beg. _____________

25%

End _____________

(4)
Wages Paid

(5)
Credit

$ _____________

$ _____________

$ _____________

$ _____________

$ _____________

$ _____________

$ _____________

$ _____________

$ _____________

$ _____________

25%

30%

Beg. _____________

25%

End _____________

25%

30%

Beg. _____________

25%

End _____________

25%

30%

Beg. _____________

25%

End _____________

25%

30%

Beg. _____________

25%

End _____________

25%

Total of column 5a through 5e.......................................................

Carry this total over to the appropriate line on your Personal Income Tax Form (IT-140) or Summary
Schedule TC of the West Virginia Corporation Net Income Tax Return (CNF-120).

Schedule

J

West Virginia Military Incentive Credit
Information & Instructions
The purpose of the West Virginia Military Incentive Credit (formerly called the Veterans Employment Credit) is to
encourage the employment of veterans and members of the guard and reserve forces in the private sector. This would be
accomplished by providing tax credits to qualified employers providing employment to economically disadvantaged veterans,
disabled veterans and unemployed members of the West Virginia National Guard and United States Reserve forces.

ELIGIBLE TAXPAYERS
Eligibility for the Military Incentive Credit is limited to employers hiring individuals certified as eligible by the West
Virginia Division of Employment Security. The credit typically applies if the eligible individual is employed for a continuous
period of one year or more. Certain other restrictions and limitations also apply.
Tax credits will not be available to employers for any individual employed for less than one year of continuous employment.
However, if the individual voluntarily leaves employment with the employer; the individual becomes totally disabled and
unable to continue his employment; or the individual is terminated for good cause shown, the employer shall be entitled
to a partial tax credit in a proportional amount corresponding to the ratio of the time period during which the veteran was
actually employed.
The tax credit is not available for the employment of any individual who displaces a person already employed or for the
employment of any individual for whom the employer is receiving job training payments from either the federal or state
government.

AMOUNT OF CREDIT
For economically disadvantaged veterans hired, the credit available to the employer is 30% of the first $5,000.00 in wages or
compensation actually paid the employee. For disabled veterans, the credit is the percentage of disability multiplied by the
first $5,000.00 in wages or compensation actually paid the employee. For members of the West Virginia National Guard and
United States Reserve forces, the credit is 25% of the first $5,000.00 in wages or compensation actually paid the employee.
Classification
Disadvantaged Veteran
Disabled Veteran
National Guard or Reserve

Percentage

x

Wage Base

30%

x

$5,000.00

=$1,500.00

= Credit

Disability Percentage

x

$5,000.00

=$0.00 - $5,000.00

25%

x

$5,000.00

=$1,250.00

DEFINITIONS OF QUALIFIED EMPLOYEES
An “Economically Disadvantaged” veteran means a person who:
1.	 Receives, or is a member of a family which receives, cash welfare payments under a federal, state or local welfare
program;
2.	 Has been certified as eligible by the West Virginia Department of Employment Security and has been employed for
a continuous period of one year;

3.	 Has, or is a member of a family which has, received a total family income for the six months prior to application which,
in relation to family size, was not in excess of the high of:
a.	 The poverty level determined in accordance with criteria established by the federal office of management and
budget; or
b.	 Seventy percent of the lower living standard income; or

c.	 Is receiving food stamps pursuant to the food stamp act of 1977; or
Rev. 09-12

West Virginia Military Incentive Credit

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d.	 Is a foster child on behalf of whom local government payments are made; or

e.	 Is an adult handicapped individual whose own income meets the requirements of subdivisions 1 and 2 of this
subsection, but who is a member of a family whose income does not meet such requirements.

“Korean conflict” veteran means a person who served in the armed services of the United States at least one day during the
period of time beginning on the twenty-seventh day of June, one thousand nine hundred fifty, and extending through the
thirty-first day of January, one thousand nine hundred fifty five.
“Vietnam era veteran” means a person who served in the armed services of the United States at least one day during the
period of time beginning the fifth day of August. one thousand nine hundred sixty-four. and extending through the seventh
day of may. one thousand nine hundred seventy-five.
“National Guard member” means a member of any component of the West Virginia National Guard.
“Reserve member” means a member of any component of the reserve forces of the United States.
If you desire additional information about the “Military Incentive Program Act of 1991”, you must contact your local Job
Service Office or the West Virginia Employment Services Division, 112 California Avenue, Charleston, WV 25305 (304)
558-7849.

INSTRUCTIONS
Enter the name(s) and Identification number shown on you r West Virginia State Personal Income Tax return or that shown
on the West Virginia Corporation Net Income Tax return.

Colu

Enter the employer name and Identification number as it appears on the “Employer Certification” issued by the West
Virginia Department of Employment Security.
mn

1

umn

Enter the Veteran’s or member’s last name, first name then middle initial on the first line. Enter his or her social
security number (SSN) on the second line.

Colu

Col

Check the appropriate box. If the veteran or member is disabled, enter the percentage of compensation for service
connected disability as determined by the Veteran’s Administration of the United States. If the veteran or member
is disadvantaged. the legislated thirty percent (30%) limitation has been preprinted. See introduction for definition of
“Economically Disadvantaged Veteran”. If member of the National Guard or Reserves, the legislated twenty-five percent
(25%) limitation has been preprinted.

2

mn

Colu

Colu

Enter the Beginning and Ending date of employment during your taxable year for each veteran or member. If the
period of employment for a veteran or member is less than one year. then the allowable credit must be prorated as
described in the “Column 5” instructions.

3

mn

4
mn

Enter the total amount of wages or compensation paid to the veteran or member during the taxable year or $5,000.00,
WHICHEVER IS LESS.

Enter the amount of allowable credit for each qualified veteran or member you have employed for the entire taxable
year computed by multiplying the amount shown in column 4 by the applicable percentage shown in column 2. If the
period of employment is not for the entire taxable year you must also prorate the calculated credit according to the ratio of
the employment dates shown in Column 3 to a full one-year period. In other words, if the period of employment was August
1, to December 31 of the taxable year the calculated credit must be multiplied by 5/12.

5

The maximum credit for each veteran or member is limited to the smallest of either the calculation just described for a partial
year of employment or $5,000.00 for a 100 percent “Disabled” veteran or member.
Add lines (a) through (e) of Column 5 and enter the total in the appropriate space. Carry this total over to the appropriate
line on your Personal Income Tax Form (IT-140) or CNF-120TC of the West Virginia Corporation Net Income Tax
Return.
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West Virginia Military Incentive Credit

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