The INJTP provides training dollars from certificates sold by Iowa’s community colleges. The certificates are paid for by the diversion of the new employees’ payroll withholding tax.
What training costs are eligible?
- Company and workforce assessment services and testing
- Adult basic education and workplace literacy
- In-plant customized training
- Credit instructional courses
- Vendor training
- On-the-job training
- Contracted or professional services
How does a business qualify?
- Business must be new or expanding.
- Businesses engaged in manufacturing, processing or assembling products, or conducting research and development are eligible.
- Service businesses must be engaged in interstate commerce to be eligible.
- Retail businesses
- Health or professional service businesses
- Iowa businesses relocating within the state
What jobs are eligible?
- New jobs in new or expanding businesses
- Jobs of recalled workers
- Jobs which formerly existed in the business in Iowa
- Jobs that replace existing jobs
How is it funded?
- Increases in new employee payroll withholding taxes resulting from the project fund the training program.
- IWCC issues certificates based on the revenue from the new taxes. The proceeds of the certificate sales are used to reimburse training expenses.
- The business is not required to pay withholding taxes in excess of what it otherwise would.
What are the responsibilities of the business?
- Provide business and financial information to IWCC for due diligence purposes.
- Comply with the terms of the final agreement between the business and IWCC.
- Provide information to IWCC regarding the new jobs, project revenues, and project expenses.