KS Apprenticeship Act - Tax Credit Application
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Effective July 1, 2023, Governor Kelly signed into law the Kansas Apprenticeship Act (Act), which establishes a tax credit and grant incentive program for apprenticeships. This act establishes an incentive fund for businesses and non-profits hiring registered apprentices. It is separated into 3 specific areas including $7.5 million in tax credits to for-profit businesses*, $2.5 million for non-profits and healthcare, and $3 million for K-12 Education. The incentive fund is a use-it-or-lose-it fund.
This application is for Kansas For-Profit Businesses. This application is needed to verify eligibility and credit amount for each company applying. Please fill out this application for eligibility verification and review. The Kansas Office of Apprenticeship (KOA) will review this application and, if eligible, you will receive a 'tax credit confirmation' certificate that needs to be submitted with the Kansas Department of Revenue K-24 form and Kansas Tax Return.
Outlined below, and on our website, are the 'required steps' that each organization will need to take to qualify for the tax credit. More information can be found here - https://ksapprenticeship.org/resource-page/kansas-apprenticeship-tax-and-grant-act/.
- Ensure eligibility of apprentices.
- Complete KS Apprenticeship Act - Tax Credit Application form. This needs to be filled out by the company/taxpayer that plans to claim the credits.
- KOA will review and send a 'Tax Credit Confirmation' Certificate back to the company to confirm eligibility and the tax credit amount.
- The company fills out K-24 Form.
*NOTE* the credit amount allocated for the company will be listed on 'Tax Credit Confirmation' Certificate, which will be needed when filling out Line 1 on the K-24 Form.
5. Submit the Tax Credit Confirmation Certificate and K-24 Form with Kansas tax return.
Kansas For-Profit Businesses Tax Credits
The Kansas For-Profit Business Tax Credits authorize the Kansas Department of Revenue to award tax credits up to $2,500 for each apprentice employed on their 2023 probationary period expiration date OR 2023 anniversary of said probationary expiration date and may be awarded for up to 20 apprentices employed in each taxable year per eligible employer.
For questions please contact:
Kansas Office of Apprenticeship - apprenticeship@ks.gov
OR
Kansas Department of Revenue - kdor_tac@ks.gov