Administered by Government of Ontario · Last verified: July 2026
A refundable Ontario tax credit for businesses that hire students enrolled in a co-operative education program at an Ontario college or university. The credit is 25% to 30% of eligible salaries and wages paid during a qualifying work placement, up to a maximum of $3,000 per placement. The 30% rate applies to employers with payroll of $400,000 or less, and 25% to those with payroll of $600,000 or more. Each work placement must last at least 10 consecutive weeks and the student must do productive paid work supervised by the employer.
You claim this on your tax return, so the money comes back as a lower tax bill or a refund after you file. If you missed it in a past year, you can often still recover it by adjusting a prior return.
Take the 3-minute quiz to find out, and see every other Canadian program you qualify for at the same time.
Check my eligibilityCo-operative Education Tax Credit is generally open to incorporated, self-employed, partnership businesses, in Ontario. Confirm the full criteria on the official program page before applying.
The estimated value is 25-30% of wages, up to $3,000 per work placement. The actual amount depends on your eligible costs, the program's budget, and approval.
Claimed on a return, so a missed year can usually be recovered by amending. How far back depends on whether you file personally or as a corporation; confirm the eligible years with your accountant.
1. Hire a student from a qualifying Ontario co-op program 2. Obtain a letter of certification from the educational institution at the end of the placement 3. Claim the credit on Schedule 550 (corporations) or Form ON479 (unincorporated businesses) 4. Keep certification documents for at least 7 years