Manufacturers/apprentices gain from proposed tax credit program

First announced in the 2004 Ontario budget, the proposed Apprenticeship Training Tax Credit would refund 25% of salaries and wages paid to an eligible apprentice in a qualified skilled trade. The tax credit would increase to 30% for small businessesthose with payrolls not exceeding $400,000.
Employers would qualify for up to $5000 per year per eligible apprentice. The maximum credit would be $15,000 over the first 36 months of an apprenticeship. Industrial trades covered by the proposed program include general machinist, tool and die maker, electrician, millwright and precision metal fabricator.
The government will consult with stakeholders to review the effectiveness of the tax credit prior to December 31, 2007. For more information contact Boni Fox Gray at the Ministry of Finance at 416-212-2155.