Canada Clean Technology Investment Tax Credit
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Canada's CT ITC is a refundable tax credit introduced by the Canadian government to encourage investment in clean technology.
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It applies to eligible equipment acquired and made available for use between March 28, 2023, and December 31, 2034.
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Eligible property includes: - Equipment used to generate electricity from solar, wind and water energy - Stationary electricity storage equipment that does not use any fossil fuel in operation (such as batteries and pumped hydroelectric storage) - Active solar heating equipment, air-source heat pumps and ground-source heat pumps - Non-road zero-emission vehicles and related charging and refueling equipment that is used primarily for such vehicles - Equipment used exclusively for the purpose of generating electrical energy or heat energy (or a combination of both), solely from geothermal energy, unless it is part of a system that extracts fossil fuels for sale - Concentrated solar energy equipment - Small modular nuclear reactors
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Credit rates are separated by date ranges of the tech property's availability and whether you choose to elect into the labour requirements and meet them. Date the clean technology property becomes available for use: From March 28, 2023 to December 31, 2033 - Rate if Elected into Requirements: 30% - Rate if not Elected into Requirements: 20% From January 1, 2034 to December 31, 2034 - Rate if Elected into Requirements: 15% - Rate if not Elected into Requirements: 5%
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To claim credits under the CT ITC, you must be: - A taxable Canadian corporation of any size, from small businesses to large enterprises. Corporations can claim the credit directly or as members of a partnership. OR - A mutual trust fund that is a real estate investment trust (REITs). REITs can claim the credit directly or as members of a partnership.