H.R. 1190House115th Congress (2017-2019)In Committee

Workforce Development Tax Credit Act of 2017

Introduced February 16, 2017

AI-Generated Summary

Updated April 15, 2026 at 12:52 PM UTC

The Workforce Development Tax Credit Act of 2017 would let employers claim a federal income‑tax credit for wages they pay to workers in qualified apprenticeship programs. The credit is split into two parts: one for wages paid while the employee is still in training, and another for wages paid after the apprenticeship is completed. It applies to any employer who hires apprentices registered with the U.S. Department of Labor or a recognized state apprenticeship agency.

Key Provisions

  • Apprenticeship period credit: 50% of wages paid to an apprentice during a qualified training year, limited to $2,000 per employee per year.
  • Post‑apprenticeship credit: 40% of wages paid to a former apprentice during the first two years after program completion, limited to $6,000 per employee, with a recapture rule if the employee leaves before one year.
  • Defines a "qualified training year" as at least 25 hours per week for 28 consecutive weeks and completion of required classroom credit hours.
  • The new credit is added to the general business credit and cannot be combined with other apprenticeship‑related credits (sections 45A, 51(a), 1396(a)).
  • The credit applies only to apprentices who begin their programs after the law is enacted.

Legislative Activity

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1 earlier action
HouseIntro Referral Latest Action

Referred to the House Committee on Ways and Means.

February 16, 2017

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HouseIntro Referral

Introduced in House

February 16, 2017

HouseIntro Referral

Referred to the House Committee on Ways and Means.

February 16, 2017

Floor Debate

19 members

What members said about H.R. 1190 on the floor

10 Republicans9 Democrats
Frank Pallone, Jr.
Rep. Frank Pallone, Jr.D-NJ-6 · Nov 2, 2017

Mr. Speaker, I yield 3 minutes to the gentleman from California (Mr. Ruiz). Mr. Speaker, I yield myself such time as I may consume. Mr. Speaker, I rise in opposition to H.R. 849, the IPAB repeal. Mr.…

Ron Kind
Rep. Ron KindD-WI-3 · Nov 2, 2017

Mr. Speaker, I thank my friend for yielding me this time. Mr. Speaker, I rise today in opposition of the repeal of the Independent Payment Advisory Board. This is another classic example of a…

Erik Paulsen
Rep. Erik PaulsenR-MN-3 · Nov 2, 2017

Mr. Speaker, pursuant to House Resolution 600, I call up the bill (H.R. 849) to repeal the provisions of the Patient Protection and Affordable Care Act providing for the Independent Payment Advisory…

Sander M. Levin
Rep. Sander M. LevinD-MI-9 · Nov 2, 2017

Mr. Speaker, I yield myself such time as I may consume. Mr. Speaker, this is really the question: Why in the world are we taking up a bill to terminate a board that does not exist? Why in the world…

Sheila Jackson Lee
Rep. Sheila Jackson LeeD-TX-18 · Nov 2, 2017

Mr. Speaker, I rise in opposition to H.R. 849, the so-called ``Protecting Seniors' Access to Medicare Act of 2017,'' which repeals the Independent Payment Advisory Board (IPAB), that was established…

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Brett Guthrie
Rep. Brett GuthrieR-KY-2 · Nov 2, 2017

Mr. Speaker, I yield myself as much time as I may consume. Mr. Speaker, I rise in support of H.R. 849, the Protecting Seniors' Access to Medicare Act of 2017. The Independent Payment Advisory Board,…

Peter Welch
Rep. Peter WelchD-VT · Nov 2, 2017

Mr. Speaker, the issue here about Medicare is one where there is universal support in this body for that program that was passed in 1965 by a bipartisan vote. It is a lifeline for many of our…

David P. Roe
Rep. David P. RoeR-TN-1 · Nov 2, 2017

Mr. Speaker, I rise in support of my bill, H.R. 849, the Protecting Seniors' Access to Medicare Act of 2017, a bipartisan bill with 270 cosponsors, that repeals two sections of the Affordable Care…

Greg Walden
Rep. Greg WaldenR-OR-2 · Nov 2, 2017

Mr. Speaker, I want to thank Mr. Guthrie from Kentucky. He has done a terrific job on the Energy and Commerce Committee on many fronts related to improving healthcare, especially for seniors and low-…

Raul Ruiz
Rep. Raul RuizD-CA-36 · Nov 2, 2017

Mr. Speaker, today I rise in strong support of my bill, the bipartisan Protecting Seniors' Access to Medicare Act of 2017. I was proud to introduce this commonsense, bipartisan bill with my friend on…

Gus M. Bilirakis
Rep. Gus M. BilirakisR-FL-12 · Nov 2, 2017

Mr. Speaker, I thank and appreciate my friend from Kentucky. He does a great job on the Energy and Commerce Committee and as vice chairman on the Health Subcommittee. Mr. Speaker, I rise in support…

Keith J. Rothfus
Rep. Keith J. RothfusR-PA-12 · Nov 2, 2017

Mr. Speaker, I thank the gentleman for yielding. Mr. Speaker, I rise today in strong support of H.R. 849, the Protecting Seniors' Access to Medicare Act. The Independent Payment Advisory Board, known…

Ryan A. Costello
Rep. Ryan A. CostelloR-PA-6 · Nov 2, 2017

Mr. Speaker, I rise in strong support of H.R. 849, the Protecting Seniors' Access to Medicare Act. Mr. Speaker, this bipartisan legislation would bring an end to the Independent Payment Advisory…

Show 6 more
Rick W. Allen
Rep. Rick W. AllenR-GA-12 · Nov 2, 2017

Mr. Speaker, I rise today to urge my colleagues to support the Protecting Seniors' Access to Medicare Act. How many of you know what the Independent Payment Advisory Board is-- also known as the…

Luke Messer
Rep. Luke MesserR-IN-6 · Nov 2, 2017

Mr. Speaker, I thank the gentleman from Minnesota for his hard work on this topic. Mr. Speaker, Hoosiers continue to suffer under the negative impacts of ObamaCare each and every day. Despite the…

Scott H. Peters
Rep. Scott H. PetersD-CA-52 · Nov 2, 2017

Mr. Speaker, my vote was not recorded on rollcall No. 604 on H.R. 849--The Protecting Seniors' Access to Medicare Act due to my attendance at the Vatican's Health of People, Health of Planet and Our…

Devin Nunes
Rep. Devin NunesR-CA-22 · Nov 2, 2017

Mr. Speaker, on the legislative day of Thursday, November 2, 2017, I was unavoidably detained and was unable to cast a vote on a rollcall vote. Had I been present, I would have voted ``yes'' on…

Kyrsten Sinema
Rep. Kyrsten SinemaD-AZ-9 · Nov 2, 2017

Mr. Speaker, due to a technical glitch, my vote was not recorded. Had I been present, I would have voted ``yea'' on rollcall No. 604.

Frederica S. Wilson
Rep. Frederica S. WilsonD-FL-24 · Nov 2, 2017

Mr. Speaker, had I been present, I would have voted ``nay'' on rollcall No. 604.

Bill Text

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Introduced in HouseIssued February 16, 2017

I

115th CONGRESS

1st Session

H. R. 1190

IN THE HOUSE OF REPRESENTATIVES

February 16, 2017

Ms. Sewell of Alabama (for herself, Mr. Byrne, Mr. Ryan of Ohio, Ms. Shea-Porter, Ms. Jackson Lee, Ms. Esty, Mr. Meeks, Mr. Kind, Ms. Kelly of Illinois, Mr. Nolan, and Mr. Kilmer) introduced the following bill; which was referred to the Committee on Ways and Means

A BILL

To amend the Internal Revenue Code of 1986 to allow employers a credit against income tax for wages paid to employees who participate in qualified apprenticeship programs.

1.

Short title

This Act may be cited as the Workforce Development Tax Credit Act of 2017.

2.

Credit for wages paid to employees participating in qualified apprenticeship programs

(a)

In general

Subpart D of part IV of subchapter A of chapter 1 of the Internal Revenue Code of 1986 (relating to business-related credits) is amended by adding at the end the following new section:

45S.

Wages paid to employees participating in qualified apprenticeship programs

(a)

In general

For purposes of section 38, the apprenticeship credit determined under this section for the taxable year is the sum of—

(1)

the apprenticeship period credit, and

(2)

the post-apprenticeship credit.

(b)

Apprenticeship period credit

For purposes of subsection (a)—

(1)

In general

The apprenticeship period credit for the taxable year is 50 percent of the wages paid for services rendered during the taxable year to each apprenticeship employee but only if such wages are paid for services rendered during a qualified training year of such employee (whether or not such employee is an employee of the taxpayer as of the close of such taxable year).

(2)

Limitation on wages per year taken into account

The amount of wages which may be taken into account under paragraph (1) with respect to any apprenticeship employee for each qualified training year shall not exceed $2,000.

(c)

Post-Apprenticeship credit

For purposes of subsection (a)—

(1)

In general

The post-apprenticeship credit for the taxable year is 40 percent of the wages paid for services rendered during the taxable year to each employee who has successfully completed a qualified training program of the employer, but only if—

(A)

such wages are paid by such employer for services rendered—

(i)

during the 2-year period which begins on the day after the employee’s completion of such program, and

(ii)

during the qualified employment period of such employee, and

(B)

the employee is performing such services in a position which utilizes skills acquired in the qualified training program.

(2)

Limitation on wages taken into account

The amount of wages which may be taken into account under paragraph (1) with respect to any apprenticeship employee shall not exceed $6,000.

(3)

Recapture for failure of employee to serve at least 1 year after completion of apprenticeship

The Secretary shall, by regulations, provide for recapturing the amount of any post-apprenticeship credit allowed under subsection (a) with respect to any individual who is employed by the employer for less than 1 year after the individual completed such program.

(d)

Definitions

For purposes of this section—

(1)

Wages

The term wages has the meaning given to such term by section 51(c), determined without regard to paragraph (4) thereof.

(2)

Apprenticeship employee

The term apprenticeship employee means any employee who is employed by the employer pursuant to an apprentice agreement registered with—

(A)

the Office of Apprenticeship of the Employment and Training Administration of the Department of Labor, or

(B)

a recognized State apprenticeship agency, as determined by the Office of Apprenticeship of the Employment and Training Administration of the Department of Labor.

(3)

Qualified training year

(A)

In general

The term qualified training year means each year during the training period in which—

(i)

the employee is employed by the employer for at least 25 hours per week during 28 consecutive weeks of such year, and

(ii)

the employee completes at least 8 credit hours of classroom work under a qualified training program for each semester of such program ending during such year.

(B)

Qualified training program

The term qualified training program means any training program undertaken pursuant to the agreement referred to in paragraph (2).

(C)

Training period

The term training period means, with respect to an employee, the period—

(i)

beginning on the date that the employee begins employment with the taxpayer as an apprentice under a qualified training program, and

(ii)

ending on the earlier of—

(I)

the date that such apprenticeship with the employer ends, or

(II)

the date which is 2 years after the date referred to in clause (i).

(4)

Qualified employment period

The term qualified employment period means the period—

(A)

beginning on the date that the employee begins employment with the taxpayer after the employee’s completion of a qualified training program of the taxpayer, and

(B)

ending on the earlier of—

(i)

the date that such employment ends, or

(ii)

the date which is 1 year after the date referred to in subparagraph (A).

(e)

Coordination with other credits

The amount of credit otherwise allowable under sections 45A, 51(a), and 1396(a) with respect to any employee shall be reduced by the credit allowed by this section with respect to such employee.

(f)

Certain rules To apply

Rules similar to the rules of subsections (i)(1) and (k) of section 51 shall apply for purposes of this section.

.

(b)

Credit made part of general business credit

Subsection (b) of section 38 of such Code is amended by striking plus at the end of paragraph (35), by striking the period at the end of paragraph (36) and inserting , plus, and by adding at the end the following new paragraph:

(37)

the apprenticeship credit determined under section 45S(a).

.

(c)

Denial of double benefit

Subsection (a) of section 280C of such Code is amended by inserting 45S(a), after 45P(a),.

(d)

Clerical amendment

The table of sections for subpart D of part IV of subchapter A of chapter 1 of such Code is amended by adding at the end the following new item:

Sec. 45S. Wages paid to employees participating in qualified apprenticeship programs..

(e)

Effective date

The amendments made by this section shall apply to individuals commencing apprenticeship programs after the date of the enactment of this Act.