Illinois Apprenticeship Education Expense Tax Credit Program

The Illinois Apprenticeship Education Expense Tax Credit is a state incentive that awards Illinois businesses for hiring and training qualified apprentices. Participating employers can receive a tax credit against their Illinois income tax liability for qualified education expenses incurred on behalf of eligible apprentices.

This program supports workforce development in high-demand industries, prioritizing the recruitment and retention of a skilled workforce for Illinois companies.

• $3,500 per eligible apprentice annually
• Additional $1,500 credit per apprentice if either:
  • The apprentice resides in an underserved area, or
  • The employer’s business is located in an underserved area
• Networking with other apprenticeship resource partners.
• Access to DCEO’s network of business support specialists.

Employers are eligible to apply for this tax credit if the following conditions are met:

The apprentice must:

• Be an Illinois resident
• Be at least 16 years of age (at the close of the school year for which a credit is sought)
• Be enrolled full-time in a U.S. Department of Labor (USDOL) registered apprenticeship program during the school year
• Be employed by the taxpayer in Illinois.

The employer must:

• Be an Illinois taxpayer
• Maintain a qualified apprenticeship program or partnership with a qualified apprenticeship program

View a detailed checklist of items required for an application.

1. Establish contact with program manager via email CEO.ApprenticeshipCredit@illinois.gov
2. Track qualified education expenses throughout the tax year
3. Complete the Illinois Apprenticeship Tax Credit Application
4. Submit tax credit documentation to the Illinois Department of Revenue with your corporate income tax return