If you are an employer, consider hiring a student who is enrolled in a post-secondary co-operative education program at an Ontario university or college. The Ontario government provides a refundable tax credit to employers of up to $3,000 for each qualifying work placement. Conditions that must be met require the student to perform employment duties under a qualifying co-op program, the work placement must be approved by the university or college, the work placement must be for a period of at least 10 consecutive weeks, the student must be paid for their work, and the employer must supervise and evaluate the job performance of the student.
Contact your local university or college if you are interested in hiring a student for a work term, and ask if your proposed work placement will qualify for this program. Upon completion of the eligible program, the university or college will send you a letter certifying that the student was employed for a stated term and program.
This tax tip is a publication of DSK on developments in the area of taxation. The material is general in nature, is current as of published date, and should not be relied upon to replace the requirement for specific professional guidance. These posts should not be considered advice to be acted upon without further professional consultation, as each reader’s personal financial situation is unique.