Additional Financial Incentives

Tax Credits and Deductions

Apprenticeship START Program

The objective of the Apprenticeship START program is to encourage employers to register and employ apprentices. The program offers a $2,500 incentive grant and $5,000 annually for each year an employer has an apprentice (for qualifying employers).

 Click here for more information.


Apprenticeship Job Creation Tax Credit (AJCTC)

The AJCTC is a non-refundable tax credit available to employers equal to 10% of the eligible salaries and wages payable to eligible apprentices in respect of employment after May 1, 2006. The maximum credit is $2,000 per year for each eligible apprentice.

 More information is available on the Canada Revenue Agency website.


Tradesperson's Tools Deduction

The Tradesperson's Tools Deduction provides employed tradespersons with an annual deduction of up to $500 to help cover the cost of new tools necessary for their trade. The deduction applies to the total cost of eligible tools if the following conditions are met:

  • the total cost exceeds $1,000;
  • the tools were purchased after May 1, 2006;
  • the purchase was made by an employed tradesperson.

 More information is available on the Canada Revenue Agency website.

Taxable Awards and Grants

For a detailed list of trades eligible for a grant or award, refer to the Apprenticeship Awards and Grants section of the Training Schedule.

Apprenticeship Incentive Grant (AIG) of $1,000 (for levels 1 & 2)

The Apprenticeship Incentive Grant (AIG) is a federal taxable cash grant of $1,000 per year which is available to apprentices who have successfully completed their 1st or 2nd year in a Red Seal trade.

  • To qualify for the 1st year grant of $1,000, you must have successfully completed Level 1/Group A technical training and 2,000 hours
  • To qualify for the 2nd year grant of $1,000, you must have successfully completed Level 2/Group B technical training and 4,000 hours

There are application deadlines associated with the AIG. So, apply for the AIG as soon as you receive your official Record of Progress from the Nova Scotia Apprenticeship Agency. If you have any questions, please contact your Training Officer.


Provincial Apprentice Progression Award of $750 (for levels 3, 4 & 5)

Apprentices from all designated trades which have four-level apprenticeship programs can apply for a taxable $750 Provincial Apprentice Progression Award if they successfully complete all Level 3/Group C technical training on or after January 1, 2009.

Apprentices in five-level apprenticeship programs can apply for a taxable $750 Provincial Apprentice Progression Award if they successfully complete all Level 3/Group C technical training on or after January 1, 2009. They can apply for another award if they successfully complete all Level 4/Group D technical training on or after January 1, 2009.

Awards will be paid twice yearly:

  • For clients who meet the criteria and who apply between the months of January and June, the award will be paid in September.
  • For clients who meet the criteria and who apply between the months of July and December, the award will be paid the following April.

Apply for a Provincial Apprentice Progression Award. Applications must be received within six months of achieving eligibility.


Apprenticeship Completion Grant (ACG) of $2,000

Apprentices in Red Seal trades are eligible to apply for the taxable Apprenticeship Completion Grant. If you have successfully completed all requirements of your program and pass the Interprovincial Red Seal Exam, you will be eligible to receive a grant of $2,000. The Certificate of Apprenticeship (with Red Seal endorsement) which is issued to all completing apprentices will be your proof of eligibility.

Apprentices can apply for this grant starting July 2, 2009, with eligibility retroactive to January 1, 2009.

Application forms and further information are available on the Service Canada website or by phone at 1-866-742-3644 (TTY: 1-866-909-9757).


Provincial Apprentice Completion Award of $2,000

From January 1, 2009 forward:

Apprentices in non-Red Seal apprenticeship programs that have 3, 4 or 5 levels of training are eligible to apply for a taxable $2,000 Provincial Apprentice Completion Award once they complete all training requirements and receive a Certificate of Apprenticeship.

Awards will be paid twice yearly:

  • For clients who meet the criteria and who apply between the months of January and June, the award will be paid in September.
  • For clients who meet the criteria and who apply between the months of July and December, the award will be paid in April.

Apply for a Provincial Apprentice Completion Award. Applications must be received within six months of achieving eligibility.

The Provincial Apprentice Completion Award will not be paid to Apprentices in a Red Seal trade who applied for it after January 1, 2009. Apprentices who fall into this category should apply for the Apprenticeship Completion Grant instead.


Canada Apprentice Loan

The Canada Apprentice Loan is available to help registered Red Seal apprentices cover the cost of their training. The Government of Canada offers apprentices registered in a Red Seal Trade apprenticeship program up to $4,000 per period of technical training.

 More information is available on the Employment and Social Development Canada website.


Additional Financial Assistance

In addition to EI, there are other benefits that you may qualify for, such as financial assistance to cover costs associated with training, child care, living away from home, travel assistance, commuting allowance and disability allowance.

Approximately three weeks prior to your scheduled training, the Agency will mail a class acceptance letter to you. Apply for these financial allowances as soon as you receive this class acceptance letter.

To apply, visit the Employment Nova Scotia website and download the application package available under the heading "While attending training...".

Complete the form and mail, fax or drop it off at the Employment Nova Scotia Office closest to your permanent place of residence.

  • Since the application for additional financial assistance is separate from the application for EI benefits, please ensure that you have an EI claim (existing or new).
  • Although every effort is made to ensure that the information on this page is accurate, apprentices should consult the official source of information about additional financial assistance.