Honor and Hire Veterans Act of 2025

House Votes

This bill boosts the tax credit employers can get for hiring veterans. It raises the Work Opportunity Tax Credit to 50% of a veteran’s first-year wages. For non‑veteran hires, the credit is 40% of first‑year wages. It also increases the wage cap used to calculate the credit for veterans and updates the reduced credit rules for people who leave early, so the partial credit lines up with the new 50% and 40% rates. These changes apply to people who start work after the law takes effect.

Key points

• Who is affected: Employers who hire veterans; veterans seeking jobs; some impact on other WOTC-eligible hires.
• What changes: Credit rate is 50% for veteran hires and 40% for others; higher wage limits are used for veterans when figuring the credit; partial-credit rules are updated to match the new rates.
• When: Applies to people who begin work after the law is enacted.