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APCHQ — Apprenticeship job creation tax credit
Non-refundable tax credit for employers hiring eligible apprentices
Last Update: May 28, 2026
Funding available
$ 2,000
Timeline
- Open continuously
Location
Quebec, Canada
Overview
The Apprenticeship Job Creation Tax Credit (AJCTC) is a non-refundable investment tax credit worth 10% of eligible salaries and wages, up to a maximum of $2,000 per year per eligible apprentice, to help employers create apprenticeship jobs. It supports employment of eligible apprentices in prescribed (Red Seal) trades during the first two years of a registered apprenticeship contract after May 1, 2006.
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Opportunity Score
Moderate potential, but conditions must align.
At a glance
Funding available
Financing goals
- Attract or retain talent
- Obtain certifications or accreditations
- Develop workforce skills
Eligible Funding
- Maximum amount : 2,000 $
- Up to 10% of project cost
Timeline
- Open continuously
Eligible candidates
Eligible Industries
- Agriculture, forestry, fishing and hunting
- Mining, quarrying, and oil and gas extraction
- Utilities
- Construction
- Manufacturing
- Transportation and warehousing
Location
- Quebec
Legal structures
- For-profit business
Annual revenue
- All revenue ranges
Organisation size
- All organization sizes
Audience
- Canadians
Next Steps
1
Determine your project
2
Validate your eligibility
Activities funded
- Hiring and employing eligible apprentices in a prescribed (Red Seal) trade during the first two years of a registered apprenticeship contract.
Documents Needed
- Completed Form T2038(IND), Investment Tax Credit (Individuals)
- Individual income tax return (T1), including line 41200 (Investment tax credit)
Eligibility
Who is eligible?
- Employers hiring eligible apprentices in prescribed trades (including Red Seal trades)
Eligible expenses
- Eligible salaries and wages payable to eligible apprentices (for employment after May 1, 2006).
How to apply
- Step 1: Gather information (eligible salaries and wages)
- Identify the eligible salaries and wages payable to your eligible apprentice for the relevant tax year.
- Calculate the amount to claim (10% of eligible salaries and wages), up to the maximum of $2,000 per year per eligible apprentice.
- If more than one related employer employed the same apprentice, determine how the $2,000 annual limit will be allocated to only one employer (special rules apply).
- Step 2: Complete the required tax credit form (CRA forms)
- If you are an individual employer, complete Form T2038(IND), Investment Tax Credit (Individuals), to support your AJCTC claim.
- If you are a corporation, complete Form T2SCH31, Investment Tax Credit – Corporations (as referenced in the CRA publications list).
- Use CRA guidance as needed (for example, T4012, T2 Corporation – Income Tax Guide, and the relevant income tax package).
- Step 3: File your income tax return with the claim (CRA submission)
- Claim the AJCTC on your income tax return on line 41200 – Investment tax credit.
- Submit your completed income tax return and the supporting investment tax credit form to the Canada Revenue Agency (CRA) through your normal tax filing method.
- Step 4: Manage unused credits (carryback/carryforward)
- If you cannot use the full credit in the current year, keep records so you can carry the unused credit back up to 3 years or forward up to 20 years, as permitted.
Additional information
- The AJCTC is a non-refundable investment tax credit (ITC) equal to 10% of eligible salaries and wages paid to eligible apprentices for employment after May 1, 2006.
- The maximum credit is $2,000 per year for each eligible apprentice.
- Unused credit can be carried back 3 years and carried forward 20 years.
- If two or more related employers employ the same apprentice, special rules apply so the $2,000 annual limit is allocated to only one employer.
Frequently Asked Questions about the APCHQ — Apprenticeship job creation tax credit Program
What is the APCHQ — Apprenticeship job creation tax credit?
The Apprenticeship Job Creation Tax Credit (AJCTC) is a non-refundable investment tax credit worth 10% of eligible salaries and wages, up to a maximum of $2,000 per year per eligible apprentice, to help employers create apprenticeship jobs. It supports employment of eligible apprentices in prescribed (Red Seal) trades during the first two years of a registered apprenticeship contract after May 1, 2006.
How much funding can be received?
APCHQ — Apprenticeship job creation tax credit Funds up to 10% of admissible expenses, capped at $2,000 per project.
Who is eligible for the APCHQ — Apprenticeship job creation tax credit program?
To be eligible for the APCHQ — Apprenticeship job creation tax credit program, you must:
Employer pays eligible salaries/wages to eligible apprentices (employment after May 1, 2006).
Apprentice works in a prescribed trade (Red Seal) within first 2 years of a registered apprenticeship contract.
Claim is made on the employer’s income tax return (investment tax credit).
What expenses are eligible under APCHQ — Apprenticeship job creation tax credit?
Hiring and employing eligible apprentices in a prescribed (Red Seal) trade during the first two years of a registered apprenticeship contract.
Who can I contact for more information about the APCHQ — Apprenticeship job creation tax credit?
You can contact Association des professionnels de la construction et de l’habitation du Québec (APCHQ).
Where is the APCHQ — Apprenticeship job creation tax credit available?
The APCHQ — Apprenticeship job creation tax credit program is available the province of Quebec.
Is the APCHQ — Apprenticeship job creation tax credit a grant, loan, or tax credit?
APCHQ — Apprenticeship job creation tax credit is a Tax Credits