Carey’s bill offers tax credits to employers participating in apprenticeship programs

To address the nation’s job skills gap, U.S. Rep. Mike Carey (R-OH) recently offered a bipartisan bill that would provide federal tax incentives to encourage more businesses to hire apprentices.

The Leveraging and Energizing America’s Apprenticeship Programs (LEAP) Act, H.R. 1536, which Rep. Carey cosponsored on March 10 alongside bill sponsor U.S. Rep. Nikki Budzinski (D-IL), would amend the Internal Revenue Code of 1986 to allow employers a credit against income tax for employees who participate in qualified apprenticeship programs.

“The LEAP Act will help develop the use of apprenticeship programs in industries, whether it be construction, health care, technology, energy or manufacturing, throughout Ohio’s 15th Congressional District,” Rep. Carey said. “I am proud to introduce this legislation with Rep. Budzinski and believe it will lead to stronger apprenticeship programs and eventually a stronger workforce across the country.” 

Specifically, H.R. 1536 would provide a $1,500 federal tax credit for businesses hiring new apprentices that are registered with the U.S. Department of Labor or a state apprenticeship agency, according to a bill summary provided by Rep. Carey’s staff. 

The legislation would be fully paid for through an offset barring the federal government from printing publications that are available online with an exception for seniors, Medicare recipients, and those in communities with limited internet access, the summary says.

First introduced in 2013 by former U.S. Rep. Rodney Davis (R-IL), the LEAP Act has been updated by Reps. Carey and Budzinski to eliminate age limits and emphasize the eligibility of pre-apprenticeship programs, according to the summary. 

“By providing tax credits to small businesses, this bill will both address the need for more qualified workers and cut educational costs for job seekers — a win-win for employers and employees,” said Rep. Budzinski. “I’m thankful to Congressman Mike Carey for partnering with me to build on this bipartisan bill.”