Productivity and Innovation Credit Scheme

Under the Productivity and Innovation Credit Scheme (PIC), businesses enjoy 400% tax deductions/allowances for qualifying expenditure incurred in any of the "Six Qualifying Activities" from the Years of Assessment (YAs) 2011 to 2018. 

Training of Employees

Training of Employees is one of the six qualifying activities that companies can claim for PIC.

Expenditure for the training of employees refers to the costs incurred to provide training to employees for the purposes of the trade and business, and can include both training conducted by the business' personnel or by external trainers.

Qualifying training costs include training for all employees. It does not matter whether they are local or foreign employees. External and in-house training can qualify for PIC.

Who is eligible?

  • All businesses, including sole proprietorships, partnerships, companies, registered branches and subsidiaries of a foreign parent or holding company, are eligible for PIC.

How much is the funding?

  • Tax Deductions/Allowances: 400% tax deductions/ allowances on up to $400,000 of spending per year in each of the six qualifying activities.
  • Cash Payout: Option to convert up to $100,000 of total spending in all six activities for each YA into a non-taxable cash payout, in lieu of the tax deduction/allowance.

Useful links:

Find out more about PIC

Types of Funding for Employer-Sponsored Participants