Frequently asked questions and answers about the National Training Fund.
1. National Training Fund (NTF)
1.1 What is the National Training Fund?The HRDC is responsible for the management of the National Training Fund (NTF). Under this Fund, various training incentives are offered to employers in order to allow them to meet part of the training cost of their employees and to support other training initiatives both at enterprise and national levels. Employers can recover up to 75% of course fees depending on their tax rate.
1.2 What are the different training incentives offered to employers and training institutions under the National Training Fund?
The HRDC provides the following training grant schemes:
Levy / Training Grant
A. In-house Training Scheme
D. Foreign Expertise Scheme
B.Overseas Training Scheme
E. Multi-media Facilities Scheme
C.Institutional Training Scheme
F. Pre-Operational Training Incentive Scheme
G. Training Needs Analysis Scheme
2. Eligibility for Grant Refund
2.1 What are the main conditions for eligibility under the Training Grant System?• Employers should contribute monthly towards the training levy;
• The courses/ training programmes should be MQA approved/ TEC Accredited prior to the start of the courses/programmes
• Grant is restricted to Mauritians or permanent Residents of Mauritius
2.2 How many months should an existing employer contribute levy for an employee to benefit from training grant?As from first month of employment and provided levy is paid for the employee and payment is up to date.
2.3 Can I claim refund for an expatriate?Yes, if levy is contributed for the expatriate as per existing legislation.
2.4 An employer has just started the operation of a business and is contributing levy. Is the employer eligible for refund of courses?Yes, after contributing at least 3 months, the ceiling for grant refund would be based on the levy paid as per proof of levy contribution.
3. Employers Tax Rate
3.1 What is the percentage of refund on course fees?Refund is based on the employer’s corporation tax rate. If the corporation tax rate is 15% an employer is entitled to refund of 60% of course fees and subject to the limit set under the Training Incentive Scheme.
3.1.1Rate of refund
Employers tax rate
HRDC training refund
3.1.2 The provisions made under the HRDC Training Grant System are as follows:
Annual Levy paid
Training refund ceiling per financial year
(i) Up to Rs 20,000
15 times levy paid
(ii) Above Rs 20,000 and up to Rs 100,000
5 times levy paid subject to a maximum limit of Rs 400,000 (For the first Rs 20,000 the grant paid will be as per (i) above)
(iii) Above Rs 100,000
2 times levy paid (For the first Rs 100,000 the grant paid will be as per (ii) above)
3.2 Who can benefit from maximum refund of 75%?An Employer who is exempt from Corporation tax is eligible for the maximum refund of 75%. The employer should submit a copy of the tax exemption certificate to HRDC.
3.3 What is the percentage of refund if the corporation tax is 4%?Grant refund percentage - 75% less 4% = 71%
4. Grant Refund Formula
4.1 How do I compute the maximum grant entitlement for the financial year?Several examples on grant ceiling computations are available at:
The grant ceiling calculator may also be used and is available at:
4.2 How can I know the amount of levy paid to the HRDC?
- Every employer should pay levy monthly and should make a return specifying the list of employees and levy paid to the Ministry of Social Security, National Solidarity and Reform Institutions.
- The levy payable is 1.5% of basic salary. The HRDC receives 1% of the levy amount and the remaining 0.5% is transferred to the Workfare Training Fund managed by the Ministry of Labour, Industrial Relations, Employment and Training.
- Only the levy of 1% received by the HRDC for the preceding financial year should be taken when computing the annual grant ceiling.
5. Financial Year
5.1 Which period is covered by the Financial Year of HRDC?As from July 2016, the financial year of HRDC covers the period 01 July to 30 June.
6. G1 Grant Application Form
6.1 What is the deadline for submitting a G1 application?
- The G1 application should be sent to the HRDC via fax or post/despatch. Application sent by email is not accepted. Employers can also avail of the Online Training Grant facilities available at www.levy.hrdc.mu.
- The G1 should be submitted and reach the HRDC at least three working days prior to the start of the course, provided all information and documents are submitted along with the application. Example: For a course starting in the morning of Thursday, the application should reach the HRDC on Monday morning of the same week at latest
6.2 Is my G1 application rejected if it is incomplete?The G1 application will not be rejected provided that the missing document/information are received at the HRDC at least 3 days prior to start of the course.
6.3 After submitting my G1 application, how much time it will take to receive the acknowledgment letter?The normal processing time for both online and manual applications is 2 days, after which you will receive the acknowledgment letter by email.
6.4 Can the G1 application be sent before the MQA approval certificate is obtained?Yes, the G1 application can be submitted to the HRDC. However the MQA course approval should be obtained prior to the start of the course to qualify for refund. The Employer should ensure that the MQA Course Approval covers the whole period/duration of the course.
6.5 If there are any changes pertaining to the G1 application, how do I proceed?All changes pertaining to the participant, trainer, venue or course date etc., should be notified to the HRDC at least 12 hours prior to the start of the course otherwise G3 application for refund cannot be processed.
6.6 What should I do in case the course is cancelled and the G1 application already sent and acknowledgement not received?The HRDC should be notified accordingly. In case the course is rescheduled at a later stage, a fresh application should be sent within the prescribed delay.
7. G3 Application Form
Application Form 7.1 When to submit G3 application for refund?G3 application should be submitted upon completion of the course with all the relevant documents. Please refer to the G1 Acknowledgement Letter from the HRDC to verify the deadline for submission of the G3 application.
7.2 What is the mode of sending G3 application?Original G3 application for refund should be sent to the HRDC via post or dispatch only. Application sent by fax or email is not accepted as the HRDC requires the originals for processing the refund. G3 application should be submitted online if the G1 application for the same course was made online.
7.3 Which documents should be sent together with the G3 application?Duly completed in full and signed G3 application should reach the HRDC by the deadline date. Documents to be submitted with G3 Form are as per table below:
|LOCAL TRAINING INCENTIVE SCHEME|
|Courses conducted by registered training centres/trainer||Courses conducted solely for the company by|
An internal trainer
A Foreign trainer
|Invoice and Receipt of course fee||A duly signed certified cost breakdown for courses conducted internally, where invoice and receipt are not available||Invoice and Receipt of (i) course fee, (ii) cost of economy airfare and (iii) accomodation of trainer|
|Letter of attestation specifying course title, list of participants with respective NIC, hours covered, exact start and end date of course and duly signed by the training provider||Letter of attestation specifying course title, list of participants with respective NIC, hours covered, exact start and end date of course and duly signed by the training provider||Letter of attestation specifying course title, list of participants with respective NIC, hours covered, exact start and end date of course and duly signed by the training provider|
|Copy of MQA Course Approval||Copy of MQA Course Approval||Copy of MQA Course Approval|
|Bank Transfer Advice if payment is made in foreign currencies||Bank Transfer Advice if payment is made in foreign currencies|
ONLINE TRAINING INCENTIVE SCHEME
|OVERSEAS TRAINING INCENTIVE SCHEME|
|Invoice and Receipt of course fee||Invoice and Receipt of course fee|
|Bank Transfer Advice if payment is made in foreign currencies||Bank Transfer Advice if payment is made in foreign currencies|
|Copy of MQA Course Approval||Copy of MQA Course Approval|
|Certificate of Successful Completion specifying course, title, name of participants as per ID, ID number, hours covered, exact start and end date.||Certificate of attendance specifying course title, list of participants with respective NIC, hours covered, exact start and end date of course and duly signed by the training provider|
|Invoice and receipt of air fare or ETicket provided air fare is indicated on the ETicket.|
7.4 What is the processing time for the G3 application?The average processing time of the G3 application is one month from the date of receipt at the HRDC subject to completeness of the application and submission of all the relevant documents. It is advisable to avoid sending all your G3 applications closer to the deadline date as the HRDC receives numerous applications then and this may result in further delay in the processing time.
7.5 If application is incomplete?If an application is incomplete, a letter to request the missing information/documents is issued to the employer. This application is treated as a fresh one and takes another 6 to 8 weeks to be processed as from the date of receipt of all the missing information/documents at the HRDC.
7.7 Should all courses be MQA/TEC approved?The HRDC refund courses that are MQA/TEC approved only.
7.8 Could my G3 application be rejected despite that the course is MQA/TEC approved?The G3 application can only be rejected if
- any discrepancy related to course title, name of trainer and duration is noted as per your G1, G3 and MQA/TEC approval differ.
- The approval does not cover the period that the course was held
7.9 Can the course be run more than once?If the course is approved on a one-off basis, grant refund will be effected for one batch only unless it is clearly specified otherwise on the MQA letter of approval
7.10 What happens in case there has been a change in the initial MQA approval?A notification letter from the MQA should be provided to the HRDC and same is effective as from the date of issue by the MQA and provided it is obtained prior to the start of the course.
7.11 Will HRDC effect a refund if the course fee approved from MQA is NIL?
- The answer is NO.
- However for overseas training scheme: the HRDC will refund only 50% of the cost of the economy airfare up to a maximum of Rs 30,000 per participant for an MQA approved course for a maximum of 2 weeks.
7.12 Do I have to send a copy of the attendance certificate where there is a lot of participants who have followed the course?Only in exceptional cases where there are less than 5 participants. Otherwise you should submit a letter of attestation specifying course title, list of participants with respective NIC, hours covered, exact course start and end dates and duly signed by both the Training Provider.
7.13 What happen if I fail to respect the deadline of G3 submission?A penalty of 25% of the amount refundable is imposed by the HRDC if the application is received within the two months after the deadline date of submission of the G3 application.
8. Foreign Expertise Scheme
8.1 The criteria set by the HRDC for submission of application form G11 is 2 weeks before the start of the course. Will my application be acknowledged if it is sent less than 2 weeks before the start of the course?Your application may be acknowledged provided it is fully complete and accompanied with all the documents and the course falls under the scarcity criteria.
8.2 How many foreign resource persons can I bring in a Financial Year?A maximum of 5 resource persons per financial year & per training centre.
8.3 Can the same foreign resource person come more than once?The same resource person cannot come more than twice in the same financial year.
8.4 To be eligible for 50% of eligible training expenses up to a maximum of Rs 400,000 the training centre should cover two weeks of training consisting of 7 days and not less than 5 hours per day. Can I conduct training for 7 days in the same week for a total of 35 hours and be eligible for Rs 400,000 refund?The course must be spread over a two week period with at least 7 days and not less than 5 hrs per day.
8.5 Can I benefit under the foreign expertise scheme even though that the participants are from my company?The participants should be from several companies to benefit.
8.6 Can I benefit under both foreign expertise and In-House Training Scheme - Foreign Trainer?Employers can benefit from either under Foreign Expertise scheme or In-House Training Scheme- Foreign Trainer, but not both.
8.7 What is the minimum number of participants?A minimum of 15 participants is required.
8.8 Is the amount of refund under the scheme within the company's grant ceiling?The scheme is outside the company’s ceiling. It is an additional grant incentive scheme.
8.9 Which grant application forms are application for the Foreign Expertise Scheme?
- Application form G11 fully completed and accompanied with all the relevant documents should be sent within the recommended period of 2 weeks before the starting date of the course/workshop/seminar.
- Application form G12 for refund should be sent within the deadline date as specified in the acknowledgement letter from the HRDC
9. Multimedia Facilities Scheme
9.1 Can a newly set up training institution benefit under the MM Facilities?One of the main conditions to benefit is that the Training Institutions should be registered with the MQA for at least 3 years and running courses with a duration of at least 6 months or with a minimum of 160 hours are eligible under the scheme.
9.2 Are TEC accredited Training Institutions eligible?Private Training Institutions accredited by TEC over 3 years and running course/s with a duration of at least 6 months or with a minimum of 160 hours are eligible under the scheme.
9.3 Which grant application forms are applicable under the Multimedia Facilities Scheme?Application form G9 fully completed together with the relevant documents including a quotation should be submitted prior to the purchase. Application form G10 together with the relevant documents including invoice and receipts of equipment approved by the HRDC should be submitted with the deadline date as specified in the HRDC’s letter. The HRDC will carry out a monitoring visit to verify the equipment prior to the refund.
9.4 After the approval of HRDC, I intend to purchase certain items which are new and not as per quotation originally submitted to HRDC or the price has changed, what should I do? Should I get the prior approval of HRDC before going ahead with the purchase?Yes, all changes relating to price, quantity or item of equipment should be communicated to the HRDC prior to acquisition.
9.5 A registered training centre is eligible every 3 years for 50% refund of up to a maximum of Rs 200,000 towards the purchase of multimedia equipment. Can the Training Centre submit applications at different interval?The Training Centre can submit application at different intervals provided the maximum of Rs 200,000 is not met. However, the next eligible of 3 years will apply as from the last application.
9.6 Is the scheme within the company's grant ceiling?The scheme is outside the company’s ceiling. It is an additional grant incentive scheme.
10. Training Needs Analysis Scheme
10.1 Should I be a registered MQA trainer to be eligible to conduct a TNA?The resource person should be qualified and experienced in conducting a TNA. A copy of the CV should be submitted to the HRDC for approval.
10.2 I have contributed an amount of Rs 10,000 as annual levy and internal resource person will conduct the TNA. The cost of the TNA will amount to Rs 20,000. What amount will be refunded by HRDC?In case the employer has recourse to an internal resource person to conduct the TNA, the grant refund is limited to 25% of training grant ceiling up to a maximum of Rs 75,000. Refund will be as follows:
➢ Annual Grant ceiling = Rs 150,000
➢ Grant limited to 25% of grant ceiling = Rs 37,500
➢ Grant refund = Rs 20,000.
10.3 What if the TNA was conducted by an external resource person at a cost of Rs 40,000, other things remaining same?Grant refund = Rs 37,500
10.4 Is the amount of refund under the scheme within the company's grant ceiling?The scheme is outside the company’s ceiling. It is an additional grant incentive scheme.
10.5 I have benefitted under TNA last year. Can I benefit under TNA this year?Eligibility for TNA is every 2 years.
10.6 Why do I have to send a Training Plan with the TNA report before obtaining the HRDC’s refund?HRDC will verify on a regular basis that the firm complies with its Training Plan. This would be considered when applying for the next TNA application.
10.7 What forms should I submit for TNA?You should submit a G6 application form at least 2 weeks prior to the conduct of the TNA. After the consultancy a G7 application form should be submitted for refund within the deadline date as specified in the acknowledgement letter.
11. Deadline for submission of application forms and Penalty
11.1 What is the deadline for submission of a claim for refund?For all courses held in the financial year up to 31 December 2015, the deadline date for submission of claim for refund is 31 March 2015. However, as from 2016 with the change of the Financial Year, the deadline would then be 30 September. It is advisable to check the deadline date on your acknowledgement letter from the HRDC.
11.2 What if I miss the deadline date of 31 March or 30 September?You have an additional 2 months after the deadline date to send your claim for refund supported with all relevant documents. However, a penalty of 25% of the amount refundable will be imposed.
For example: course fees- Rs 10,000 and assuming corporation tax rate of employer is 15%; Grant Refund (60% of course fees)= Rs 6,000. Penalty (25% of Rs 6,000) = Rs 1,500. Grant refund after penalty= Rs 6,000- Rs 1,500 = Rs 4,500.
11.3 Does the deadline date apply to other incentive schemes (TNA, Multimedia Facilities, POTI and Foreign expertise)?Yes, the deadline date apply also to the other incentives schemes. Please check the date as shown in the acknowledgement letter from the HRDC.
11.4 Which application forms should I submit to benefit from other training incentive schemes?Further to grant application under the training levy (G1 and G3 forms), the following application forms are available to benefit from additional training incentives:
G4: Application form for approval of training under Pre-Operational Training Incentives for BPO firms
G5: Application form for refund under the Pre-Operational Training Incentives for BPO firms
G6: Application form for approval under the TNA Scheme
G7: Application form for refund under the TNA Scheme
G9: Application form for approval under the Multimedia Facilities Scheme
G10: Application form for refund under the Multimedia Facilities Scheme
G11: Application form for approval under the Foreign Expertise Scheme
G12: Application form for refund under the Foreign Expertise Scheme
11.5 How do I submit my application form and relevant documents?All application forms must be submitted to
Human Resource Development Council
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