Updated April 2026 · Verified against Manitoba Finance — Tax Assistance Office guidelines
✓ First-Timer Friendly Tax Credit Offset Est. 2003
Tax Credit Provincial Active

Co-operative Students Hiring Incentive (COS-HI) — Manitoba

Manitoba Finance — Tax Assistance Office
Maximum Funding
Up to $5,000
Ongoing — claimed on annual corporate income tax return
Visit Official Program →
Difficulty
Easy
Payment
Tax Credit Offset
Trend
Stable
First-Timers
Friendly ✓
Co-Funding
15%
Co-operative Students Hiring Incentive (COS-HI) — Manitoba provides up to Up to $5,000 per student lifetime (15% of wages per placement, multiple terms allowed) Manitoba tax credit for employers who hire students enrolled in registered co-operative education programs for their work placement terms. Applications are accepted on an ongoing basis. (As of April 2026, verified against Manitoba Finance — Tax Assistance Office program guidelines)

Eligibility & Details

What this program funds and who can apply

Free

Program Description

Refundable Manitoba tax credit for employers who hire students enrolled in registered co-operative education programs for their work placement terms. Employers claim 15% of wages paid during the co-op placement, up to a lifetime maximum of $5,000 per student across all work terms. Introduced in 2003 to incentivize Manitoba employers to offer co-op placements and build talent pipelines with local post-secondary institutions.

Eligibility Requirements

  • Employer must be a Manitoba employer (private company, co-operative, Crown Corporation, municipally-owned business, non-profit, unincorporated employer, or tax-exempt entity)
  • Provincial and federal government departments are NOT eligible
  • Must hire a student enrolled in a registered co-operative post-secondary education program
  • The co-op work placement must count toward the student's degree, certificate, or diploma
  • Student must work primarily in Manitoba
  • The co-op program can be located anywhere in Canada or internationally
  • Student placement limited to a lifetime maximum of 5 eligible placements under this program
Provinces
Manitoba
Industries
All
Business Stage
Startup Growth Established Expansion

Quick Assessment

Difficulty
Easy
Competition
Low
Est. Hours
2h
First-Timer
Friendly

Funding Details

Amount
Up to $5,000 per student lifetime (15% of wages per placement, multiple terms allowed)
Type
Tax Credit
Level
Provincial
Co-Funding
Up to 15% of eligible costs
Deadline
Ongoing — claimed on annual corporate income tax return

Program Scorecard

Competition, effort, and approval at a glance

Hybrid
Competition
Low
Effort
~2 hours
Approval
Moderate
Accessibility
--/5
Competition
--/5
Approval Rate
--%

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What You Need to Get Approved
Everything reviewers look for — so you apply with confidence, not guesswork

How to Win

Insider tips, common pitfalls, and what successful applicants look like

Premium
Insider Tip

COS-HI is simpler than COG-HI — no TAO pre-certification required, just claim it on your tax return. Pair COS-HI (student credit) with COG-HI (graduate credit) for maximum value: claim COS-HI during each co-op work term, then use COG-HI when you hire the graduate full-time after graduation. Both are fully refundable, so you get cash back even if your tax bill is zero. The student's co-op program doesn't need to be a Manitoba institution — students from universities across Canada qualify as long as they work primarily in Manitoba.

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Success Profile

Any Manitoba employer in any industry that hires post-secondary students for co-op work terms. Highly accessible — no minimum company size, no industry restriction. Particularly valuable for SMEs looking to reduce the cost of co-op hiring while building talent pipelines with local universities and colleges.

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Evaluation Criteria

No competitive evaluation — entitlement tax credit. CRA and Manitoba Finance verify on audit: (1) student is enrolled in a registered Manitoba co-op education program, (2) placement counts toward the student's credential, (3) work is primarily performed in Manitoba, (4) student has not exceeded 5-placement lifetime limit. No pre-approval required.

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Application Steps

1 Hire a registered co-op student Hire a student enrolled in a registered co-operative education program for their required work placement. Confirm the student's program is on the Manitoba Co-operative Education Programs Registry by asking the institution or contacting the Manitoba Tax Assistance Office. The co-op program can be at any Canadian institution as long as the student works primarily in Manitoba.
2 Pay wages during the co-op work term Pay the student wages during the co-op placement as normal. Keep payroll records. If you are also receiving federal Canada Student Work Placement Program funding for the same student, note those amounts — they must be deducted from wages before calculating the COS-HI credit.
3 Claim the credit on your Manitoba tax return Claim 15% of net wages paid during the co-op work term on your Manitoba corporate income tax return (T2) or individual return. No separate TAO pre-certification required for COS-HI — simpler than COG-HI. The credit is fully refundable, so you receive a cheque for any amount exceeding your tax liability.
+1 more steps

Required Documents 4

Confirmation that the student is enrolled in a registered co-operative education program (obtain from the student or institution)
Payroll records showing wages paid during the co-op work term
Corporate income tax return (T2) or individual return to claim the credit
Verify program is on the Manitoba Co-operative Education Programs Registry (contact TAO if uncertain)

Eligible Expenses 2

  • Salary and wages paid to the co-op student during registered work placement terms
  • Net wages (deduct any federal government assistance received for the same wages)

Ineligible Expenses 4

  • Wages for work not primarily performed in Manitoba
  • Wages paid to students in non-registered co-op programs
  • Benefits, employer CPP/EI contributions, or non-wage compensation
  • Wages after the student's 5-placement lifetime limit is reached

Intake Periods

Ongoing — no intake windows. Claim on annual tax return for each year wages were paid during co-op work terms.

Deadline Notes

No separate application deadline. Credit is claimed on the Manitoba corporate or individual income tax return for the tax year in which wages were paid during the co-op placement. No TAO pre-certification required for COS-HI (unlike COG-HI). A single student has a lifetime maximum of 5 eligible placements under the program.

Open Application Portal →

Ineligible Organizations

  • Provincial government departments
  • Federal government departments
  • Employers where work is primarily performed outside Manitoba

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Combined Funding Potential See your total funding potential

Clawback Risk

Low Risk

No formal clawback — tax credit is claimed annually on the return. Risk limited to audit of eligibility documentation. If audit reveals student was not in a registered program, the credit may be reassessed.

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Stacking amounts, clawback details, government stacking limits, and tax implications
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How COS-HI Compares

Side-by-side with similar programs

Free
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