Washington, DC, Jun 12, 2007 -

U.S. Representative John Carter (TX-31) today re-introduced legislation that will assist military spouses in obtaining quality employment. The Military Spouses Employment Act of 2007 will provide employers a tax incentive to hire qualified military spouses.

“I am pleased to introduce this bill that provides tax incentives that will give our devoted military spouses greater access to quality jobs,” Congressman Carter said. “Statistics show that military spouses traditionally earn less than civilians despite higher graduation rates and living in areas with better paying jobs. It is my hope that this incentive will bring jobs to military communities and level the playing field for qualified employees who happen to be military spouses.”

Congressman Carter’s bill may also help with service member retention, as research has found that the influence of military spouses on service member retention decisions has increased with the proportion of military spouses working outside the home.

The Military Spouses Employment Act will expand the Workforce Opportunity Tax Credit (WOTC) to include military spouses, providing employers a tax incentive to hire qualified military spouses. Qualified spouses include all active duty military spouses, as well as spouses of National Guard and Reserve members who are activated for 90 days or more. If expanded, WOTC would allow employers to claim an income tax credit of 40 percent for the first $6,000 in wages for qualified spouses who remain on the payroll at least 400 hours. For spouses who remain employed from 120 hours to 399 hours, employers are eligible for a tax credit of 25 percent.

Congressman Carter’s bill has gained the support of The Military Coalition, which includes 35 organizations representing 5.5 million members. The legislation also has the bipartisan support of dozens of Members of Congress as original cosponsors.