The government knows apprenticeship is important for our economy and recognizes the investment it takes of time and money to develop a skilled and sustainable workforce. Therefore, it provides incentives to offset the costs of hiring an apprentice:
- Apprenticeship Training Tax Credit (ATTC): Employers are eligible for up to 35%-45% refundable tax credit on eligible expenditures incurred with respect to qualifying apprentices. An employer is eligible for a tax credit of up to $10,000 per year per eligible apprentice to a maximum of $40,000 over the first 48 months.
- Apprenticeship Job Creation Tax Credit (AJCTC): AJCTC is a non-refundable tax credit equal to 10% of the eligible salaries and wages payable to eligible apprentices in respect of employment after May 1st, 2006. The maximum credit an employer can claim is $2,000 per year for each eligible apprentice.
- Co-operative Education Tax Credit (CETC): CETC is a refundable tax credit available to employers who hire students for a placement of at least 10 consecutive weeks who are enrolled in a co-operative education program at a post-secondary institution. Corporations can claim 25 percent of eligible expenditures (30 per cent for small businesses). The maximum credit for each work placement is $3,000.
- Apprenticeship Scholarship & Signing Bonus: Employers can receive a $2,000 Employment Signing Bonus to register new apprentices and provide on-the-job training for at least six months from the date that the apprentice was registered.
- Apprenticeship Completion Employer Bonus: Employers can earn a $1000 taxable cash grant for each apprentice they hire, train and completes his or her apprenticeship, receives a Certificate of Apprenticeship and where, applicable, a Certificate of Qualification.