Apprenticeship Infrastructure Tax Credit Act of 2025

Summary

Creates a new employer tax credit for hiring and enrolling new apprentices in registered apprenticeship programs for infrastructure-related occupations. The credit is $3,000 per eligible apprentice per applicable year and $6,000 for recently separated veterans, National Guard or reserve members, or military spouses, with rules about how long an apprentice can generate the credit and which occupations qualify.

• Creates a new employer tax credit for hiring and enrolling new apprentices in registered apprenticeship programs for infrastructure-related jobs.
• Credit equals $3,000 per eligible apprentice per applicable year; $6,000 for recently separated veterans, Guard/reserve members, or military spouses.
• Credit period covers the year the apprentice enrolls and, for long programs (3,000+ on-the-job hours), also the succeeding year; limited carryforward rules also apply.
• Infrastructure occupations are designated by the Secretary of Labor; initial O*NET groups are specified for taxable years beginning in 2026 with annual updates.
• Employers must document written apprenticeship agreements and enrollment to claim the credit; certain hires (e.g., hired >90 days before enrollment) are excluded.
• The credit is treated as a general business credit under the tax code and reduces employer tax liability (a tax expenditure).
• Enhanced credit targets recently separated service members and military-connected hires to encourage their hiring into apprenticeship programs.
• Requires coordination between Department of Labor (occupation list/registration) and IRS (tax administration and documentation).