The bill amends the income tax credit for apprenticeship programs in Arkansas by increasing the amount of the credit available to taxpayers who employ apprentices. Specifically, the credit is raised from a maximum of $2,000 or 10% of the apprentice's wages to $3,500 or 15% of the wages, whichever is less. Additionally, the total amount of income tax credit that a taxpayer can claim in a tax year is increased from $10,000 to $15,000.
The effective date for these changes is set for tax years beginning on or after January 1, 2023. This amendment aims to incentivize the hiring of apprentices by providing a more substantial tax benefit to employers, thereby promoting workforce development and training opportunities in the state.
Statutes affected: Old version HB1492 V2 - 2-28-2023 10:21 AM: 26-51-509(b)
HB 1492: 26-51-509(b)