Co-operative Education Tax Credit

Note: These are intended as guidelines only and are not intended to replace the current tax legislation.

The Co-operative Education Tax Credit (CETC) is a refundable tax credit available to you, as the employer, who hires students enrolled in a recognized Ontario university post-secondary co-operative education program.

The Canada Revenue Agency (CRA) administers the program on behalf of Ontario through the federal income tax system.

Our WIL programs that are eligible for Co-operative Education Tax Credit can be found here


To be a qualifying work placement, the work placement must meet all of the following conditions:

  • the student must perform employment duties for a corporation under a qualifying co-operative education program;
  • the placement must be developed or approved by an eligible educational institution as a suitable learning situation;
  • the terms of the placement must require the student to engage in productive work;
  • the placement must be for a period of at least 10 consecutive weeks except, in the case of an internship program, the placement cannot be less than 8 consecutive months and not more than 16 consecutive months;
  • the corporation must supervise and evaluate the job performance of the student;
  • the institution must monitor the student's performance in the placement;
  • the institution must certify the placement as a qualifying work placement; and
  • the student must be paid for the work performed.

For more information visit the Ministry of Finance website.

The Benefit

An eligible employer may claim a refundable tax credit for each qualifying work placement ending in the taxation year. The CETC reimburses employers 25% to 30% of eligible expenditures. The maximum credit for each qualifying work placement is $3,000.