What is the Apprenticeship Construction Tax Credit?

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Construction Apprenticeship Tax Credit Worksheet

 

This act extends to non-union businesses the corporation tax credit for hiring construction trade apprentices that was previously available only to businesses that sponsored a four-year apprenticeship program jointly with a union.  It postpones awarding the credit until an apprentice completes a program that lasts at least four years. 

 

Eligibility


There shall be allowed a credit for any taxpayer against the tax imposed under this chapter for any income year with respect to wages paid to apprentices in the construction trades by such taxpayer in such year that the apprentice and taxpayer participate in a qualified apprenticeship training program, as described in this section, which (1) is administered pursuant to 29 USC Section 186(c), (2) is at least four years in duration (3) is certified in accordance with regulations adopted by the Labor Commissioner, and (4) is registered with the Connecticut State Apprenticeship Council established under section 31-22n. 


The tax credit shall be (A) in an amount equal to two dollars per hour multiplied by the total number of hours completed by each apprentice toward completion of such program, and (B) awarded upon completion and notification of completion of such program in the income year in which such completion and notification occur, provided the amount the credit allowed for such income year with respect to each such apprentice may not exceed four thousand dollars or fifty per cent of actual wages paid over the first four income years for such apprenticeship, whichever is less.