Tax credit to encourage manufacturing, processing and tourism infrastructure companies to make capital investment in Alberta
As part of the Alberta Jobs Plan, the Alberta government has invested $70 million in a Capital Investment Tax Credit (CITC) for manufacturing, processing and tourism infrastructure that will spur economic diversification and job creation.
The CITC is a 2-year program that provides a non-refundable tax credit valued at 10% of a corporation’s eligible capital expenditures, up to $5 million. The CITC encourages companies to make timely capital investments by returning a percentage of the company’s costs, including the purchase of machinery, equipment and buildings.
The CITC can only be claimed when the capital purchased is in use and the firm is earning profits and paying taxes.
