WOTC OPPORTUNITY TAX CREDIT

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1 WOTC OPPORTUNITY TAX CREDIT Take advantage of a federal incentive program providing tax credits to businesses that hire employees. Sign up with Tax Credit Co. s WOTC screening platform, and you can: Earn credits for hiring veterans and welfare recipients. Collect up to $9,600 in credits for each qualified employee. Let Tax Credit Co. do all the work to manage the application process. Temporarily screen hires from 2014 for retroactive credits. Program ends April 30, To get started, complete the included forms and return to Tax Credit Co. (TCC) or your CPA. What is WOTC? WOTC is a federal income tax credit designed to encourage employers to hire individuals with barriers to employment. Employers can earn a tax credit for hiring employees from certain target groups. Who gets the credit? Companies operating in the United States, including Puerto Rico, which are hiring WOTC eligible employees and paying taxes. The credits can be used against the owner s / shareholders federal income taxes, and can be carried back one year or forward twenty years. How much credit can your business earn? Businesses that hire hourly employees typically see 8-12% of their hires qualify for WOTC credits. The average credit earned depends upon how long those employees stay with the company (minimum of 120 hours), and can range from $800-$1,500 per qualified employee. How do I get these credits? 1. Complete the paperwork included in this packet, and return to Tax Credit Co. 2. Provide instructions (created by TCC) to each new hire at point of hire. 3. Provide wage and hours data to TCC at the end of the year, when prompted.

2 WOTC APPLICATION INSTRUCTIONS 1. SETUP (complete attached forms) Company Information and Key Contacts provides information allowing Tax Credit Co. to create a dedicated online link for your new hires to take a short survey to determine WOTC or other credit eligibility. No-Risk Contract your business pays Tax Credit Co. for services based on credits generated, and only once certifications for qualified employees are received. This contract can be submitted via scan/ to: info@taxcreditco.com or via fax to: Limited Power of Attorney allows Tax Credit Co. to complete, submit and appeal WOTC certification applications to state agencies on your behalf. This form must be submitted with wet-ink signature to: Tax Credit Co. POA Dept Sunset Blvd., Suite 2200, Los Angeles, CA SCREEN (distribute screening instructions to new hires) After receiving your forms, Tax Credit Co. creates custom screening instructions that you will distribute to all new hires at the point of hire. A sample of this form can be found in this packet. Tax Credit Co. uses the completed survey to initiate an application for WOTC certification, and submits it to the appropriate state agency on your behalf. *** For Retroactive Screening (year 2014), distribute the screening instructions to all employees hired in CALCULATE (provide payroll data to Tax Credit Co.) After receipt of state WOTC agency certifications, Tax Credit Co. will notify you, and request additional payroll data (hours worked, wages earned) to complete the credit calculation. The credit will be calculated and delivered annually, or more often, if desired.

3 COMPANY INFORMATION Please provide the requested information below, and include details for each separate tax entity:

4 KEY CONTACTS Please provide the requested information below: PRIMARY CONTACT (key decision maker): HUMAN RESOURCES (notified when additional information is needed for an application): PAYROLL (notified when hours/wage information is needed for credit calculation): BILLING (invoices are submitted to this contact for payment): ACCOUNTING (tax packages are directed to this contact for use in tax returns): Tax Credit Co. will interact with the above listed individuals, as our key points of contact, throughout the process of delivering your tax credits.

5 Agreement for Tax Credit Services Company (Entity) Name: City, State Zip SERVICES. We are pleased to be retained to assist (Entity Name), its owners and affiliates ( you ) in identifying and obtaining Work Opportunity Tax Credits (WOTC) and other tax credits and incentives as instructed by you in writing. We will prepare and provide to you the documentation required by the relevant taxing authority in order to claim the credits we identify (each a Credit ). COOPERATION. To assist you, we will need your full cooperation, and you agree to provide us with that cooperation and reasonably requested documents (including payroll information, tax returns and other employee and financial documents). You understand that we rely on the information you provide us without verifying it, and that our work will not be reliable to the extent that we do not have complete and accurate information. We will be your exclusive provider of services relating to the Credits during the term of this Agreement. FEES. You agree to pay us a fee equal to twenty percent (20%) of the face amount of all Credits identified and documented by us, billed monthly based on certifications received. In addition, you agree to pay us a one-time set-up fee of $100. INVOICE & PAYMENT: Fees are invoiced upon delivery of our work product, which for WOTC shall include employees with approved certifications and shall include the relevant calculations and work papers needed to calculate the credit. We may charge you interest at 1.5% per month on any amounts more than fifteen (15) days past due. The fact that we do not charge interest on one or more occasions does not mean we cannot charge it at a later time. HOW OUR FEES WILL BE CALCULATED. The face amount of a Credit is the amount of the Credit as calculated and documented by us. For purposes of our internal accounting, our revenues are earned upon our calculation of tax credits. EXPENSES. We may incur expenses in connection with obtaining supporting documentation for certain eligibility categories from certification agencies and third party sources (including but not limited to court document research and other sources of public records). To the extent that we pay or prepare to pay such fees or incur such expenses, you agree to reimburse us within thirty (30) days of our request. AUDIT SUPPORT. We will work with you at no additional fee to support the amount of tax credits in audit. LIMITATION OF LIABILITY. We cannot assure you that there are any available credits, or that we will find and document them if there are. While we do not get paid for credits which are not documented, at the same time we will not be liable for any credits which are never documented or are not documented in a timely fashion. Under no circumstances will we be liable for any amounts in excess of the fees we actually receive from you, or for consequential or special damages, including lost credits or costs incurred by you in connection with any audit. TERM. We agree to work together for tax years up to and including tax year 2016, after which this agreement will renew on the first day of each tax year, unless terminated by either party upon thirty (30) days written notice. Termination will not affect our or your obligations with respect to Credits which we previously documented, or the completion of work on and payment for credits for which we have begun the process of identifying or collecting documentation. CONFIDENTIALITY OF INFORMATION. We will use reasonable efforts to maintain the confidentiality of your Confidential Information except (i) as necessary for the performance of this Agreement and (ii) as required by law (in which case we will use reasonable efforts to cooperate with your efforts to contest the order or requirement). Confidential Information means any information that is either marked as such or where the confidential nature is reasonably apparent to us. Confidential Information does not include information that: (i) is or becomes generally known to the public without breach of this Agreement; (ii) is rightfully known by us at the time of disclosure without an obligation of confidentiality; (iii) is independently developed by us without use of Confidential Information; or (iv) we rightfully obtain from a third party.

6 GENERAL PROVISIONS. This Agreement constitutes the entire agreement between the parties with respect to our efforts and the Credits and supersedes all prior or contemporaneous understandings or agreements, written or oral, regarding such subject matter. This Agreement may only be modified in a written document signed by the parties, and notices required by the Agreement must be in writing. No waiver of any of the provisions of this Agreement will be effective unless made in writing and signed by the waiving party or will be construed as a waiver of any subsequent breach or as a continuing waiver of such breach of this Agreement. This Agreement (i) is not intended to benefit any third party; (ii) does not create an employment, partnership, joint venture, representative, fiduciary or other legal or business relationship, other than that of independent contractor; and (iii) may be executed in multiple counterparts and by facsimile. A determination that any provision of this Agreement is invalid in whole or in part will not affect the enforceability of those provisions found not to be invalid. Including means including without limitation. This Agreement will be construed in accordance with California law, excluding the impact of the conflicts of law provisions. Any claim arising out of or relating to this Agreement will (a) first be submitted to good faith mediation and (b) if mediation does not produce an agreed solution within ninety (90) days after notice of claim is first given, then either party may submit the dispute to arbitration in Los Angeles, California, in accordance with the arbitration rules promulgated by the American Arbitration Association. Each party agrees that such an arbitration is its exclusive remedy and expressly waives any right to seek redress in any other forum. The prevailing party will be entitled to recover the costs of the arbitration or collection, including reasonable attorneys fees, except that if, in violation of this Agreement, any party commences an action without first attempting to resolve the matter through mediation, or refuses to mediate after a request has been made, then that party will bear all of the fees of the arbitrator. The parties hereby consent to the in personam jurisdiction of the Superior Court of the State of California for purposes of confirming any arbitration award and entering judgment thereon. This agreement may be assigned by us to an affiliate, to a purchaser of our business or assets or to our successor in a transaction consummated for tax planning purposes or in connection with a financial or strategic investment in us. AGREED & ACCEPTED (CLIENT) Signature: Date NAME TITLE AGREED & ACCEPTED (Tax Credit Co.) Signature: Date NAME TITLE