Each year, the West Virginia Tax Division publishes TSD 110, a handy overview of the tax credits available to businesses and individuals across the state. As a partner at Brown Edwards, I like to walk our clients through these credits one topic at a time so the details are easier to digest — this post is one installment in that series.
One credit worth highlighting is the Apprenticeship Training Tax Credit. It rewards construction-trade employers for investing in on-the-job training—something many companies may already be doing without realizing a tax credit is available. The following Q&A summarizes the key eligibility rules, calculation limits, documentation requirements, and practical considerations for claiming the credit.
Code: W. Va. Code §11-13W-1 et seq. | Relevant Form(s): Schedule WV/ATTC-1
A credit is allowed for properly registered taxpayers for wages paid to apprentices in the construction trades.
Q: Who is this for?
A: Registered taxpayers paying wages to apprentices in the construction trades.
Q: What types of entities can claim the credit?
A: The credit may be used by corporations to offset West Virginia corporation net income tax. If the employer is an electing small business corporation, partnership, limited liability company treated as a partnership for federal income tax purposes, or sole proprietorship, the credit may be applied against West Virginia personal income tax or passed through to owners when applicable.
Q: How is the credit calculated?
A: $2 per hour multiplied by the total number of hours worked during the tax year, but the credit may not exceed $2,000 or 50% of the actual wages paid for the apprenticeship, whichever is less.
Q: What are the program requirements?
A: The apprenticeship training program must consist of at least 2,000 hours but not more than 10,000 hours of on-the-job training.
Q: Does the apprentice need to be registered?
A: Yes. The apprentice must be registered with the United States Department of Labor, Office of Apprenticeship, West Virginia State Office, during the tax year in which the wages are paid.
Q: What type of apprenticeship program qualifies?
A: The program must be a qualified apprenticeship training program administered under 29 U.S.C. Section 50 and certified under the applicable apprenticeship regulations. The program must meet the registration and certification requirements for a qualified apprenticeship program. Employers should confirm that their specific program sponsor, registration, and documentation satisfy West Virginia’s requirements before claiming the credit.
Q: What records should the employer keep?
A: Employers should maintain support for the apprentice’s registration, the apprenticeship program sponsor and sponsor program number, hours worked, wages paid, and the way the credit was calculated. Claims without supporting documentation may be denied.
Q: Can the credit be passed through to owners?
A: Yes. If the employer is a pass-through entity, Schedule WV/ATTC-1 includes a pass-through allocation detail, so the credit can be allocated to owners, when applicable.
Q: What happens to unused credit?
A: Any unused credit is forfeited — there is no carryforward to subsequent tax years or carryback to prior tax years.
If you're a construction-trade employer running a registered apprenticeship program, this credit is worth claiming every year — just remember it's a use-it-or-lose-it benefit, so make sure your apprentice wage records are in order before you file.
Source: West Virginia Tax Division, TSD 110 – West Virginia Tax Credits (Rev. October 2025). This article summarizes general information from that publication for educational purposes and is not a substitute for the underlying tax laws or regulations, nor is it individualized tax advice. Please consult your Brown Edwards advisor about how these credits may apply to your specific situation.