An Act To Support the Trades through a Tax Credit for Apprenticeship Programs
Maine Legislature, Session 128, LD 0781
Committee Amendment CA_A_H416 (House)
Amends: 36 MRSA §5219

COMMITTEE AMENDMENT "A,, to H.P. 561, L.D. 781, Bill, "An Act To 
Support the Trades through a Tax Credit for Apprenticeship Programs" 
Amend the bill by striking out everything after the enacting clause and before the 
summary and inserting the following: 
'Sec. 1. 36 MRSA §5219-00 is enacted to read: 
§5219-00. Apprenticeship credit 
1. Definitions. As used in this section, unless the context otherwise indicates, the 
following terms have the following meanings. 
A. 
"Apprenticeship program" means an apprenticeship program approved by the 
Department of Labor pursuant to Title 26, chapter 37. 
B. "Participating apprentice" means a registered apprentice, pursuant to Title 26, 
section 3202, participating in an apprenticeship program. 
2. Credit allowed. For tax years beginning in 2018 or after, a taxpayer constituting 
an employing unit that employs a participating apprentice in the taxable year is allowed a 
credit against taxes imposed under this Part for each participating apprentice employed by 
the taxpayer during the taxable year. 
3, Amount of credit. For an employing unit employing a participating apprentice 
for at least 2,000 hours during the taxable year, the credit under this section is $2,500. 
For an employing unit employing a participating apprentice for fewer than 2,000 hours 
during the taxable year, the credit is $2,500 multiplied by a fraction the numerator of 
which is the number of hours that the participating apprentice worked for the employing 
unit during the taxable year and the denominator of which is 2,000. 
4. 
Participation statement and apprenticeship program certificates. 
An 
employing unit claiming a credit under this section for one or more participating 
apprentices shall submit with the Maine income tax return for the taxable year a statement 
indicating the number of hours worked by each participating apprentice during the 
taxable year for which a credit is claimed under this section. The statement must include 
Page I - 128LR1987(02)-1 
COMMITTEE AMENDMENT 
It ot s. 
COMMITTEE AMENDMENT .. 4,, to H.P. 561, L.D. 781 
employer and participant apprenticeship information and any other information the State 
Tax Assessor considers necessary to determine eligibility for the credit under this section. 
A pass-through entity. such as a partnership, limited liability company, S corporation or 
similar pass-through entity, shall submit the statement required by this subsection directly 
to the bureau. 
The Department of Labor shall provide the bureau with copies of 
apprenticeship program certificates of eligibility and any pertinent information that will 
assist the State Tax Assessor in determining eligibility for the credit under this section. 
Sec, 2. Appropriations and allocations. 
The following appropriations and 
allocations are made. 
ADMINISTRATIVE AND FINANCIAL SERVICES, DEPARTMENT OF 
Revenue Services, Bureau of 0002 
Initiative: Provides one-time funding for programming costs to add a line to the income 
tax form. 
GENERAL FUND 
All Other 
GENERAL FUND TOTAL 
ADMINISTRATIVE AND FINANCIAL 
SERVICES, DEPARTMENT OF 
DEPARTMENT TOTALS 
GENERAL FUND 
DEPARTMENT TOTAL-ALL FUNDS 
2017-18 
$33,000 
$33,000 
$33,000 
$33,000 
2018-19 
$0 
$0 
$0 
$0 
LABOR, DEPARTMENT OF 
Employment Services Activity 0852 
Initiative: Provides funds for one Labor Program Specialist position and one Office 
Specialist I position and related All Other costs needed due to an increase in workload as 
a result of the tax credit for employers who employ an apprentice participating in an 
0 
approved apprenticeship program. 
GENERAL FUND 
POSITIONS - LEGISLATIVE COUNT 
Personal Services 
All Other 
GENERAL FUND TOTAL 
2017-18 
2.000 
$112,030 
$19,044 
$131,074 
COMMITTEE AMENDMENT 
2018-19 
2.000 
$149,373 
$19,044 
$168,417 
R. d s. 
COMMITIEE AMENDMENT'#" to H.P. 561, L.D. 781 
LABOR, DEPARTMENT OF 
DEPARTMENT TOTALS 
GENERAL FUND 
DEPARTMENT TOTAL-ALL FUNDS 
SECTION TOTALS 
GENERAL FUND 
SECTION TOTAL - ALL FUNDS 
SUMMARY 
2017-18 
2018-19 
$131,074 
$168,417 
$131,074 
$168,417 
2017-18 
2018-19 
$164,074 
$168,417 
$164,074 
$168,417 
This amendment replaces the bill. It permits an employer who employs an apprentice 
participating in an approved apprenticeship program to receive a tax credit and 
establishes procedures for employing units to be eligible for a partial credit if they 
employ a participating apprentice for fewer than 2,000 hours during a calendar year. The 
amendment also adds an appropriations and allocations section. 
FISCAL NOTE REQUIRED 
(See attached) 
COMMITTEE AMENDMENT 
Approved: 05/26/17 :Wac:.. 
LD781 
LR 1987(02) 
An Act To Support the Trades through a Tax Credit for Apprenticeship Programs 
Fiscal Note for Bill as Amended by Committee Amendment~· ( f-{-'--f f ~ 
Committee: Taxation 
Net Cost (Savings) 
General Fund 
Appropriations/ Allocations 
General Fund 
Revenue 
General Fund 
Other Special Revenue Funds 
Fiscal Detail and Notes 
Fiscal Note Required: Yes 
Fiscal Note 
FY2017-18 
$164,074 
$164,074 
$0 
$0 
FY 2018-19 
$2,618,417 
$168,417 
($2,450,000) 
($50,000) 
Projections 
FY2019-20 
$2,547,301 
$172,301 
($2,375,000) 
($125,000) 
Projections 
FY2020-21 
$2,551,285 
$176,285 
($2,375,000) 
($125,000) 
The bill provides an income tax credit for apprenticeship programs and would reduce General Fund revenue by 
$2,450,000 in fiscal year 2018-19 and reduce Local Government Fund revenue by $50,000 in fiscal year 2018-19. 
The bill includes a General Fund appropriation of $33,000 to the Department of Administrative and Financial 
Services in fiscal year 2017-18 for programming costs to add a line to the income tax form. 
This bill also includes General Fund appropriations of $131,074 in fiscal year 2017-18 and $168,417 in fiscal year 
2018-19 to the Employment Services Activity program within the Department of Labor for one Labor Program 
Specialist position and one Office Specialist I position and related All Other costs needed due to an expected increase 
in workload as a result of the tax credit for employers who employ an apprentice participating in an approved 
apprenticeship program. 
LR1987(02) - Fiscal Note - Page 1 of 1