Apprenticeship Infrastructure Tax Credit Act of 2025

Higher Credits for Military-Connected Individuals: Employers receive a higher credit of $6,000 for hiring recently separated veterans, members of the National Guard or reserve components, or military spouses, compared to the $3,000 credit for other employees (Section 2(a)(b)).

Support for Infrastructure-Related Occupations: The bill provides incentives for roles in major groups such as Construction and Extraction, Installation, Maintenance, and Repair, Production, and Computer, Information Technology, and Security (Section 2(a)(b)(1)(B)(ii)).

Extended Credit Periods for Long-Term Training: For specific programs that are time-based or competency-based requiring 3,000 or more on-the-job learning hours, the credit period can extend to a succeeding taxable year (Section 2(a)(c)(1)(B)).

Loss of Credit Due to Job Loss: Employers cannot claim the credit if an apprentice is involuntarily terminated due to reasons like downsizing, business closure, or a reduction in workforce (Section 2(a)(d)(10)).

Exclusion of Contract Workers: Individuals reported via a 1099 contractor rather than a Form W-2 are not considered apprenticeship employees and thus do not qualify for the credit (Section 2(a)(d)(1)(C)(ii)).

Potential Limitation of Opportunities: As the $5 billion volume cap approaches, the Secretary of Labor may limit the number of qualifying occupations or restrict the issuance of certificates to specific groups (Section 2(f)(1) and (3)(A)).

Prohibition of Remuneration: An employer cannot claim the credit if the apprentice provides any remuneration, such as tuition or application fees, to the employer or the program sponsor (Section 2(a)(d)(11)(A)).