Access financial incentives when hiring apprentices in Manitoba | CFIB
Hiring an apprentice can connect you with an employee that has knowledge of cutting-edge technologies and concepts to help your business stay competitive. Government knows apprenticeship is important for our economy and provides incentives to offset the costs of apprenticeship.
If you are an employer with apprentices or if you want to start an apprenticeship program, the Employer page will provide all of the information you need about apprentices in your workplace.
If you are an apprentice or would like to be one, the Apprentice page is a great place to learn more.
Here are financial incentives available to both the employer and the individual apprentices:
- Apprenticeship Job Creation Tax Credit (AJCTC): Employers that hire an eligible apprentice can claim a non-refundable tax credit equal to 10% of the eligible salaries and wages payable to the apprentice in respect to employment after May 1, 2006. The maximum credit is $2,000 per apprentice per year.
- Manitoba Paid Work Experience Tax Credits: Available for employers who are not eligible for the AJCTC. Employers can claim a percentage of apprentices and newly certified journeypersons wages up to a maximum dollar amount. Employers will receive the credit through their annual personal or corporate income tax return. A pre-approval process will no longer be required. The refundable credit is extended indefinitely.
- Apprenticeship Incentive Grant for Women (AIG-W): Female apprentices that have completed their first or second year/level can apply for a taxable cash grant of $3,000 per year/level up to a maximum amount of $6,000.
- Apprenticeship Incentive Grant (AIG): Apprentices that have finished their first or second year/level can apply for a taxable cash grant of $1,000 per year/level up to a maximum of $2,000.
- Apprenticeship Completion Grant (ACG): Apprentices that have become a certified journeyperson can apply for a taxable cash grant of $2,000.
- Tradespersons and Apprentice Mechanic Tool Deductions: The cost of eligible tools bought to earn employment income as a tradesperson and as an eligible apprentice mechanic may be tax deductible, including any GST/HST and provincial sales tax paid.
- Manitoba Youth Apprenticeship Programs: High school students can get a head start on their apprenticeship program through the High School Apprenticeship Program (HSAP), Provincial Accreditation through High School (PATHS) and Student Apprentice Work Experience Co-Op (SAWEC).
- MPI Apprenticeship Grant and Tool Allowance: Apprentices in the collision repair industry can access a maximum $5,000 tool allowance for completing level one and purchasing tools after Jan 1/10. A $2,000 grant is available to apprentices completing any program level after Jan 1/10, up to a maximum of $8,000 per apprentice.
- Scholarships, bursaries and awards: A variety of bursaries and awards available to future and current apprentices.