Co-operative Education Tax Credit | Government of Ontario

Value: 25% of eligible expenditures, up to $3000 per placement.

Description:

The Co-operative Education Tax Credit is a refundable tax credit. It is available to employers who hire students enrolled in a co-operative education program at an Ontario university or college.

Eligibility:

Ontario businesses that hire students enrolled in a post-secondary co-operative education program.

A qualifying co operative education program is an educational program or course of study that formally integrates students’ academic studies with work placements.

  • For an educational program other than an internship program:
    • Each work component must be at least 10 consecutive weeks and the student is required to finish 50% of the work components to complete the educational program
    • The total time spent in the work components is not more than 75 per cent of the total time spent in required academic study, and
    • The total time for mandatory work components must be at least 30 per cent of the total time spent in required academic study
  • If the educational program is an internship program:
    • There is an optional work component of at least eight consecutive months but not more than 16 consecutive months, and
    • The total time spent in the work component is at least 30 per cent and not more than 75 per cent of the time spent in required academic study
  • All optional work placements must be completed before the start of the final academic term and must be recorded in the student’s transcripts
  • The educational program provides credit towards a post secondary degree, diploma or certificate by an eligible educational institution
  • The appropriate governing body for the eligible educational institution, through its authorized delegate, has provided to the Minister of Finance, or to his or her delegate, a list of programs that meet the requirements listed above

Eligible Expenses:

  • Salaries and wages including taxable benefits (i.e., the amounts reported on the T 4 slip) paid or payable to the student for the placement. The student’s salary must be attributable to an Ontario permanent establishment (place of business)
  • Fees paid or payable to an employment agency for the work placement for services of a student carried out primarily at an Ontario place of business

Contact: Canada Revenue Agency | 1 800 959 5525

Website: http://www.fin.gov.on.ca/en/credit/cetc/index.html

By | 2018-08-07T02:14:43+00:00 August 2nd, 2018|Categories: Grants|0 Comments

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