Are You Leaving Money On The Table?

Posted in Tax Highlights November 2009

Keywords: employer training investment program, tax, tax planning

Your company might be eligible for reimbursement of up to 50% of employee training costs, if  it meets the eligibility requirements set by the Illinois Department of Commerce and Economic Opportunity.

During the current economic climate with record breaking unemployment numbers, the federal government has made certain grant money available for training the underemployed.  Such grant money is available to the Employers through State agencies – in Illinois it is through Illinois Department of Commerce and Economic Opportunity (DECO).  This program is called Employer Training Investment Program or “ETIP”.

The ETIP program falls under the “Workforce Investment Act of 1998”.  This Act provides the framework for a unique national workforce preparation and employment system designed to meet both the needs of the nation’s businesses and the needs of job seekers and those who want to further their careers.

The Illinois ETIP program is a streamlined, cost effective program to help Illinois workers keep their skills constant with changing technologies and business processes.  Businesses benefit through increased productivity, reduced costs, improved quality and competitiveness.

Eligible businesses are Illinois companies that are re-training/upgrading the skills of their existing workforce.  Grants may be awarded to individual companies or intermediary organizations offering training to meet the common training needs of multiple companies.

Eligible training programs include but are not limited to:

  • Information Technology/computer skills
  • Quality- ISO-Safety
  • Technical/Workplace Skills
  • Basic Skills

Eligible training costs include:

  • External vendor/trainer costs
  • Internal trainer wages and limited fringe benefits
  • Trainee wages and fringes
  • Training materials

The ETIP is a June/July program year cycle.  Training grants such as Illinois’s ETIP exist throughout the country.
 

For more information please contact Jason Parish at jparish@BlackmanKallick.com or 312-980-2959, or your Blackman Kallick representative. Our thanks to Deb Rood for her contribution to this article.

This publication is part of Blackman Kallick’s marketing of professional services, and is not written tax advice directed at the specific facts and circumstances of any person and/or entity. Contents of this publication are of a general nature, and you should not act on this information without obtaining professional advice from your business advisor that is appropriately tailored to your individual needs and circumstances. This written advice is not intended or written to be used, and cannot be used by any taxpayer, for the purpose of avoiding penalties that may be imposed under the Internal Revenue Code.


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This publication is part of Blackman Kallick’s marketing of professional services, and is not written tax advice directed at the specific facts and circumstances of any person and/or entity. Contents of this publication are of a general nature, and you should not act on this information without obtaining professional advice from your business advisor that is appropriately tailored to your individual needs and circumstances. This written advice is not intended or written to be used, and cannot be used by any taxpayer, for the purpose of avoiding penalties that may be imposed under the Internal Revenue Code.