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This is a nonrefundable income tax credit for employers who assist employees in completing a learning contract in which the employee agrees to obtain his or her high school equivalency diploma.  The credit is calculated by multiplying 50 percent of the hours an employee is released from work to study for the General Educational Development (G.E.D.) test by the employee's (student's) hourly salary. The credit shall not exceed $1,250.

  • KRS 151B.402
  • The credit is allowed against the taxes imposed by KRS 141.020141.040 and 141.0401.​​
  • This credit may be claimed only in the year during which the learning contract was completed and unused portions of the credit may not be carried forward or back.
  • The GED–Incentive Program Final Report (Form DAEL–31) for each employee that completed a learning contract during the tax year must be attached to the tax return to claim this credit.

For information regarding the program, contact the Education Cabinet, Kentucky Adult Education, Council on Postsecondary Education.  ​

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