Hiring and training apprentices costs time and money. The BC Training Tax Credit helps reduce those costs by lowering your B.C. income tax or even providing a cash refund for your business. If you employ apprentices—or you are one—here’s how the credit works and how to claim it properly.
The credit is run by the Government of British Columbia and applies to apprentices registered in eligible SkilledTradesBC programs.
The BC Training Tax Credit is a refundable income tax credit for employers who hire and pay apprentices in B.C. It is based on wages paid during specific apprenticeship periods.
Key facts:
Unlike deductions, refundable tax credits can give you a cash refund if the credit is more than the tax you owe.
To claim the BC Training Tax Credit as an employer, all of the following must be true:
Important exclusions:
The credit amount depends on the apprenticeship level and program type.
For employers:
The percentage increases as the apprentice moves through higher levels of training.
Because this is a refundable credit, you can receive the benefit even if your business owes little or no B.C. income tax for the year.
Eligible costs generally include:
Other training-related expenses (like tools or classroom fees) are not usually included unless specifically stated by the program.
You claim the BC Training Tax Credit when you file your annual tax return.
You must keep records showing:
Tools like GrantHub’s eligibility matcher can help you quickly confirm whether your apprentices and business structure qualify before you file.
Some B.C. training tax credits are designed for apprentices directly, depending on the program and training level. These credits are claimed on the apprentice’s personal income tax return and usually require proof of registration and completed training levels.
Eligibility rules for apprentices are separate from employer claims, so it’s important not to double-count the same benefit.
Claiming for unregistered apprentices
Only apprentices registered in SkilledTradesBC-administered programs qualify.
Including ineligible wages
Wages must be paid during eligible apprenticeship periods and relate to the registered trade.
Missing partnership allocation rules
Only active partners can claim their proportionate share. Limited partners are excluded.
Assuming tax-exempt corporations qualify
Corporations exempt from B.C. income tax cannot claim this credit.
Q: Is the BC Training Tax Credit refundable?
Yes. If the credit is more than the B.C. income tax you owe, you may receive a refund.
Q: Do apprentices have to be registered with SkilledTradesBC?
Yes. Only apprentices registered in eligible SkilledTradesBC programs qualify.
Q: How much can I claim per apprentice?
Employers can claim between 20% and 50% of eligible wages, up to $6,000 per apprentice, depending on the training level.
Q: Can partnerships claim the BC Training Tax Credit?
Yes. Active partners can claim their proportional share. Limited partners cannot.
Q: What records should I keep?
Keep apprentice registration documents, payroll records, and proof of training periods in case of review.
Claiming the BC Training Tax Credit starts with confirming your apprentices, wages, and business structure all meet the rules. GrantHub tracks active training grants and tax credits across Canada—explore which ones match your business so you don’t miss out on funding for hiring and training skilled workers. Staying up to date with resources like GrantHub can help you find new supports as programs change.
Was this article helpful?
Rate it so we can improve our content.
Canada Proactive Disclosure Data
The Canadian government has funded over 400,000 businesses through 1.27 million grants and contributions. Check your eligibility in 60 seconds.