Intern and Apprentice Recruitment Act (IARA)

IARA is a Missouri tax law, effective 1-1-24, that provides an income tax credit for taxpayers who hire an intern or apprentice and pay them at or above the minimum wage. Taxpayers are allowed to claim a tax credit against their state tax liability of $1,500 for each intern or apprentice hired at the allowable pay rate. The tax credits are not refundable, cannot be transferred and cannot be carried forward. The total amount of tax credits claimed must not exceed $9,000 for any give tax year.

An application must be submitted to the Missouri Department of Economic Development in order to apply for the tax credits.


  • Number of interns/apprentices employed for the tax year exceeds the average number of interns/apprentices employ by the taxpayer over the previous three years
  • Interns must work a minimum of 60 hours per month for at least two consecutive months and a copy of the intern’s official transcript must be submitted with the tax credit claim
  • Apprentices must comply with all federal requirements for qualified apprenticeship, including completing a minimum of 2,000 hours of on the job training and 144 hours of required technical instruction in a calendar year and a copy of the qualified apprenticeship program certification must be submitted with the tax credit claim

Give us a call if you need assistance with capitalizing on this new credit available to Missouri