# 119-hr-1177: Improve and Enhance the Work Opportunity Tax Credit Act

119-hr-1177, Improve and Enhance the Work Opportunity Tax Credit Act, is a 119th Congress bill sponsored by Rep. Smucker, Lloyd [R-PA-11] (R-PA); status introduced; PRIA reads it as touching household money (as of 2026-08-26).

- Canonical: https://policyrisk.com/legislation/119-hr-1177
- As of: 2026-08-26
- Plain-text twin of the page above; the HTML and this file carry the same facts.

## Facts
- Bill: 119-hr-1177
- Congress: 119
- Title: Improve and Enhance the Work Opportunity Tax Credit Act
- Status: introduced
- Introduced: 2025-02-10
- Sponsor: Rep. Smucker, Lloyd [R-PA-11] (R-PA)
- Cosponsors: 17
- Policy area: Taxation
- Touches household money: yes
- Last recorded action: 2026-08-26

## Summary

**This bill would expand the Work Opportunity Tax Credit to reward longer-term hires and widen eligibility for veterans and benefit recipients.** It would rewrite how the credit is calculated, raise wage limits for certain veterans, and remove an age cap for SNAP recipients. - Employers and targeted hires: Employers would get a new two-tier credit. It would pay 50% of first-year wages up to $6,000 and, for workers who complete at least 400 hours, 50% of first-year wages between $6,000 and $12,000, letting long‑service hires qualify for up to $6,000. - Veterans: For specified veteran categories the bill would raise the wage bases to $12,000/$24,000, $14,000/$28,000, or $24,000/$48,000, allowing larger credits for those veteran hires. - Long-term Family Assistance recipients: The credit would be 40% of up to $10,000 in first‑year wages and 50% of up to $10,000 in second‑year wages. - SNAP recipients: The bill would remove the current “not age 40” restriction so older SNAP beneficiaries can qualify. - Summer youth workers: The youth credit would be set at 40% of qualified first‑year wages, with a 25% rate for a specified subgroup and a $3,000 annual wage cap for certain youths. - Timing: Changes would apply to individuals who begin work after December 31, 2024.

## Cosponsors (17)

- Rep. Horsford, Steven [D-NV-4] (D-NV), 2025-02-10T00:00:00.000Z
- Rep. Fitzpatrick, Brian K. [R-PA-1] (R-PA), 2025-02-10T00:00:00.000Z
- Rep. Suozzi, Thomas R. [D-NY-3] (D-NY), 2025-02-10T00:00:00.000Z
- Rep. Kelly, Mike [R-PA-16] (R-PA), 2025-02-10T00:00:00.000Z
- Rep. Buchanan, Vern [R-FL-16] (R-FL), 2025-02-10T00:00:00.000Z
- Rep. Johnson, Henry C. "Hank" [D-GA-4] (D-GA), 2025-02-11T00:00:00.000Z
- Rep. Miller, Carol D. [R-WV-1] (R-WV), 2025-02-14T00:00:00.000Z
- Rep. Malliotakis, Nicole [R-NY-11] (R-NY), 2025-03-04T00:00:00.000Z
- Rep. Panetta, Jimmy [D-CA-19] (D-CA), 2025-03-04T00:00:00.000Z
- Rep. Tenney, Claudia [R-NY-24] (R-NY), 2025-03-31T00:00:00.000Z
- Rep. McBride, Sarah [D-DE-At Large] (D-DE), 2025-05-07T00:00:00.000Z
- Rep. Miller, Max L. [R-OH-7] (R-OH), 2025-05-08T00:00:00.000Z
- Rep. Van Drew, Jefferson [R-NJ-2] (R-NJ), 2025-06-12T00:00:00.000Z
- Rep. Neguse, Joe [D-CO-2] (D-CO), 2025-06-23T00:00:00.000Z
- Rep. Mann, Tracey [R-KS-1] (R-KS), 2025-09-19T00:00:00.000Z
- Rep. Vindman, Eugene Simon [D-VA-7] (D-VA), 2025-10-03T00:00:00.000Z
- Rep. Barr, Andy [R-KY-6] (R-KY), 2026-08-24T00:00:00.000Z

## Provisions PRIA read

- Bigger credit for long-term assistance hires: benefit, high. Employers who hire long‑term family assistance recipients would use a clearer, richer formula. The credit would equal 40% of up to $10,000 of first‑year wages plus 50% of up to $10,000 of second‑year wages. These rules would apply to eligible hires who start after December 31, 2024.
- Bigger hiring credit for longer-service workers: benefit, high. This bill would overhaul how the Work Opportunity Tax Credit is figured for year one. Employers would get 50% of up to $6,000 in first‑year wages. If the worker completes at least 400 hours, employers could also claim 50% of wages between $6,000 and $12,000 (max first‑year credit $6,000). It would…
- Higher wage caps for veteran hires: benefit, high. If enacted, more of a qualified veteran’s wages could count toward the hiring credit. For certain veteran groups, the first‑/second‑year wage caps would rise to $12,000/$24,000, $14,000/$28,000, or $24,000/$48,000. Employers could claim the credit on these larger wage amounts for eligible veteran h…
- Older SNAP recipients count for hiring credit: benefit, high. The bill would remove the age‑40 cap for the SNAP target group. SNAP recipients age 40 and older would qualify as hires who can generate the Work Opportunity Tax Credit. This would apply to people who start work after December 31, 2024.
- New limits for summer youth hires: mixed, high. For summer youth, the hiring credit would be 40% of up to $3,000 in first‑year wages (max $1,200). Some youth defined in the law would get a 25% rate instead. Another defined subgroup would not count for the credit. These rules would apply to hires who start after December 31, 2024.

## Related bills

- 119-hr-842: Nancy Gardner Sewell Medicare Multi-Cancer Early Detection Screening Coverage Act
- 119-hr-2725: Affordable Housing Credit Improvement Act of 2025
- 119-hr-1151: Freedom to Invest in Tomorrow’s Workforce Act
- 119-hr-909: Crime Victims Fund Stabilization Act of 2025
- 119-hr-452: Miracle on Ice Congressional Gold Medal Act
- 119-hr-1262: Mikaela Naylon Give Kids a Chance Act

## Sources
- [119-hr-1177 on Congress.gov](https://www.congress.gov/bill/119th-congress/house-bill/1177)

## Related
- [119-hr-842: Nancy Gardner Sewell Medicare Multi-Cancer Early Detection Screening Coverage A…](https://policyrisk.com/legislation/119-hr-842)
- [119-hr-2725: Affordable Housing Credit Improvement Act of 2025](https://policyrisk.com/legislation/119-hr-2725)
- [119-hr-1151: Freedom to Invest in Tomorrow’s Workforce Act](https://policyrisk.com/legislation/119-hr-1151)
- [119-hr-909: Crime Victims Fund Stabilization Act of 2025](https://policyrisk.com/legislation/119-hr-909)
- [119-hr-452: Miracle on Ice Congressional Gold Medal Act](https://policyrisk.com/legislation/119-hr-452)
- [119-hr-1262: Mikaela Naylon Give Kids a Chance Act](https://policyrisk.com/legislation/119-hr-1262)
- [All bills in Congress](https://policyrisk.com/legislation)

Source: PRIA, https://policyrisk.com/legislation/119-hr-1177 (as of 2026-08-26).