Apprenticeship Training Tax Credit

As part of building a solid foundation to support a new generation of economic growth, the government proposes to introduce a new Apprenticeship Training Tax Credit (ATTC) to encourage the hiring of apprentices in certain skilled trades. The ATTC would complement other apprenticeship program measures that are being announced in the Budget to help increase the availability of skilled workers in key sectors of the economy.

Tax Incentive

An employer would be eligible for a tax credit of up to $5,000 per year per eligible apprentice to a maximum of $15,000 over the first 36 months of the apprenticeship. The maximum annual tax credit of $5,000 would be pro-rated for the number of days the apprentice is employed with that employer during the year.

Eligible Apprentices

Eligible apprentices would be in their first 36 months of an apprenticeship training program in a qualifying skilled trade on or after May 19, 2004 and have commenced employment before January 1, 2011.

Eligible Expenditures

Eligible expenditures would be salaries and wages paid after May 18, 2004 and before January 1, 2011, to an eligible apprentice.

Qualifying Skilled Trades

Qualifying skilled trades would include designated construction, industrial and motive power trades, as well as the services trades eligible under the present apprenticeship component of the Co-operative Education Tax Credit.

Apprenticeship Tax Credit Skilled trades qualifying for the ATTC would include:

Construction Trades

  • Plumber
  • Sheet Metal Worker
  • Electrician
  • Refrigeration and air conditioning mechanic
  • Brick and Stone Mason
  • General Carpenter
  • Ironworker and Hoisting Engineer
  • Power Lineworkers

Motive Power Trades

  • Automotive service technician
  • Fuel and electrical systems technician
  • Autobody and collision damage repairman
  • Truck and Coach technician
  • Motive power Machinist
  • Heavy duty equipment technician
  • Marine engine mechanic

Industrial Trades

  • General Machinist
  • Tool and die Maker
  • Machine tool design
  • Industrial electrician
  • Industrial Mechanic (millwright)
  • Precision Metal fabricator
  • Cabinet Maker
  • Mould Maker

Service Sector Trades

  • Electronic service technician
  • Micro-electronics manufacturer
  • Network cabling specialist
  • Information technology support analyst

Who is administering the Tax Credit?

It is being administered through the Ontario Ministry of Finance. You will be able to claim it on your Ontario income tax return per the eligibility criteria. If you think your company could be eligible, you or your accountant should contact the Ontario Ministry of Finance. Check out their website at http://www.rev.gov.on.ca/english/credit/attc/

 

 

Apprenticeship Scholarship through Job Connect


Are you interested in Apprenticeship?

Are you missing the academic requirements needed for the trade?

Job Connect can help!  

In May, 2004, the provincial budget announced an Apprenticeship Scholarship and Employer Signing Bonus initiative, administered by the network of third party delivery agencies in Ontario under Job Connect. The initiative is intended to support apprenticeship training and employment for youth (24 years of age or less) who have left school early and require academic upgrading to meet the minimum academic entry requirements to register as apprentices in an apprenticeship program.

You may be eligible to receive a $1,000 Apprenticeship Scholarship. Your employer may also be eligible for a $2,000 employer-signing bonus. In order to be eligible, you should meet the following criteria:

  • be between 16-24 years old 

  • be registered as an apprentice after May 18, 2004

  • have left school 

  • have an identified interest in the skilled trades

  • have yet to achieve the academic entry requirements into the trade through academic upgrading, GED etc. after April 1, 2004, and before having been registered as an apprentice

If you meet the above criteria, you may be eligible for a $1,000 Apprenticeship Scholarship.

When you are registered as an apprentice, your Employer may be eligible for an immediate signing-bonus of $1,000, and if you are retained in employment, at the sixth month the employer could be eligible for another $1000 incentive bonus.

For further information, contact the YMCA Career Development and Learning Centre 905-681-1140, or drop by their offices at 500 Drury Lane, Burlington.