Form Rev-1601(A) - Tax Credit Certification Request Form

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FREQUENTLY ASKED QUESTIONS:

Are tax credits beneficial to employers and Pennsylvanians?

Absolutely. Look at what happens. The welfare or vocational rehabilitation recipient gets a

job, and works toward self-sufficiency. The employer hires a qualified person to do a needed job, and earns

tax credits that increase the firm’s profitability. Since the employer claims the tax credits after the year in

which the new employee got the job and began earning wages, the savings in cash assistance, medical

assistance, food stamps, Social Security disability benefits, and/or workers compensation more than offset the

cost of the tax credits. Thus the employee, the employer, and the taxpayer all benefit!

EIP tax credits can be claimed against which Pennsylvania taxes?

Employers who are individuals, partnerships, proprietorships, PA. “S” corporations, estates,

or trusts may apply the credit against their personal income tax liability or their estate’s or trust’s income tax

liability on their Pennsylvania Personal Income Tax Return. With respect to employers who are corporations,

banks and financial institutions, title insurance and trust companies, savings and loan companies, or insurance

companies, the tax credit may be applied against the corporate net income, bank shares, mutual thrift net

earnings, or gross premiums tax liability on their appropriate Pennsylvania Corporate Tax Report.

May agencies that provide temporary or contract employees participate in the EIP Program?

Yes, if the temporary/contract help agency is the actual employer. If the hire is properly

certified, the agency may earn the same credits. As the agency is the employer, the number of sites or

placements does not affect the continuation of employer eligibility. Obviously, the agency would need to keep

the employee in placement to maximize tax credits earned. However, if such an EIP hire-certified employee

quits the agency or accepts a replacement job from another employer, the agency’s employer relationship then

ends for that certification.

How do I have an eligible hire certified?

The employer must submit a properly completed EIP Tax Credit Certification Request Form

[REV 1601(A) (01/00)] to the address indicated on the form. The completed form must be postmarked or

faxed on or before the 21

day after the date that the hired person started work.

Exactly how do I file to apply the tax credits?

Secure a copy of Schedule W from the Pennsylvania Department of Revenue at 1-800-

362-2050 or the Internet at The form comes with detailed

instructions which will enable you to submit the completed schedule with your regular state tax filing.

Who actually administers the program – and where can I get more information, forms,

and referrals of job candidates?

The EIP Tax Credit Program is administered by the Pennsylvania Department of Revenue

in cooperation with the Departments of Labor and Industry and Public Welfare. For more information, forms,

and referrals of job candidates, contact your local County Assistance office, CareerLink Site, or Job Center.

The phone numbers may be found in the Government listings in your telephone directory.

PA-EIP.001 – 01/00

Form Rev-1601(A) - Tax Credit Certification Request Form - 2000 Page 3