Information about the Volunteer Emergency Workers tax credit

The Volunteer emergency workers credit was added into SB 1963 which became a tax omnibus bill in the final week of Session. Below is some information on that credit.

Volunteer emergency workers credit

Individuals who serve as volunteer emergency workers who volunteered for at least 9 months during the taxable year and do not receive compensation for his or her services as a volunteer emergency worker of more than $5,000 for the taxable year is entitled to a credit in an amount equal to $500.

“Volunteer emergency worker” for the credit means a person who serves as a member, other than on a full-time career basis, of a fire department, fire protection district, or fire protection association that has a Fire Department Identification Number issued by the Office of the State Fire Marshal and who does not serve as a member on a full-time career basis for another fire department, fire protection district, fire protection association, or governmental entity.

Process to obtain the credit

The chief of the fire department, fire protection district, or fire protection association will be responsible for notifying the State Fire Marshal of the volunteer emergency workers who meet the requirements during the immediately preceding calendar year by January 12 of the current year. The chief of the fire department, fire protection district, or fire protection association shall be responsible for the verification and accuracy of their submission to the State Fire Marshal.

The State Fire Marshal by January 24 of each year will notify the Department of Revenue of the names of the workers who apply for this credit. The Department of Revenue will create a process for the workers to receive the credit most likely in the form of an income tax certificate.

As of right now the credit only applies to volunteers who work for a fire department, district or association.