How much funding can be received?

Funds up to 20% of admissible expenses.

What is the deadline to apply?

The deadline to apply is not specified.

Who are the financial supporters of the British Columbia mining exploration tax credit?

British Columbia mining exploration tax credit is funded by BC Ministry of Finance, Government of British Columbia

What are British Columbia mining exploration tax credit's eligibility criterias?

Must be an eligible corporation or an active corporate member of a partnership conducting grassroots mineral exploration in B.C. Must incur qualified mining exploration expenses in British Columbia for base and precious metals, coal, or certain industrial minerals (oil and gas excluded).

British Columbia mining exploration tax credit

Last Update: April 27, 2025

BC, Canada

Tax credit supporting corporate mining exploration activities in British Columbia

British Columbia mining exploration tax credit at a glance

Eligible Funding

Up to 20% of project cost

Timeline

Continuous Intakes

Financing Type

Tax Credits

Eligible Industries

Mining, quarrying, and oil and gas extraction

Grant Providers

BC Ministry of Finance
Government of British Columbia

Status

Open

Overview of the British Columbia mining exploration tax credit program

The British Columbia Mining Exploration Tax Credit (METC) offers eligible corporations a refundable tax credit of up to 30% of qualified mineral exploration expenses, depending on the project's location. The program supports activities such as prospecting, geological surveys, drilling, preliminary sampling, and environmental studies aimed at discovering and evaluating mineral resources in British Columbia.

Financing terms and conditions

The credit is calculated as 20% of qualified mining exploration expenses, less any assistance received or receivable.
An enhanced rate of 30% applies to qualified mineral exploration expenses in prescribed Mountain Pine Beetle affected areas.
The credit is fully refundable but must first be applied against total income tax payable.

Eligible projects & activities

Grassroots mineral exploration projects aimed at determining the existence, location, extent, or quality of mineral resources in British Columbia.
Exploration initiatives focused on base and precious metals, coal, and designated industrial minerals.
Mineral exploration projects conducted in prescribed Mountain Pine Beetle affected areas with an enhanced credit rate.

Eligibility criteria of the British Columbia mining exploration tax credit program

The applicant must be an eligible corporation or a corporation that is an active member of a partnership conducting grassroots mineral exploration in British Columbia.
The applicant must incur qualified mining exploration expenses in B.C. for the purpose of determining the existence, location, extent, or quality of a mineral resource.
The exploration must pertain to base and precious metals, coal, or certain industrial minerals (not oil and gas).
Eligible expenses may include prospecting, geological surveys, drilling, trenching, digging test pits, preliminary sampling, and environmental studies required to obtain exploration rights.

Who is eligible?

Eligible corporations conducting grassroots mineral exploration in British Columbia
Corporations that are active members of partnerships conducting grassroots mineral exploration in British Columbia

Who is not eligible

Limited partners in partnerships (they are not eligible to claim the credit).
Companies conducting exploration activities related to oil and gas (drilling expenses for oil and gas do not qualify).

Eligible expenses

Prospecting expenses for mineral exploration.
Geological survey costs.
Drilling expenses (excluding oil and gas drilling).
Trenching and digging test pits.
Preliminary sampling activities.
Environmental studies and community consultations required to obtain rights, licences, or privileges for mineral resource determination.

Eligible geographic areas

British Columbia

How to apply to the British Columbia mining exploration tax credit program

Step 1: Calculate Qualified ExpensesDetermine and document all eligible mining exploration expenses incurred in British Columbia.
Exclude any expenses related to oil and gas exploration after February 22, 2024.
Step 2: Complete Required SchedulesFill out Schedule 421, British Columbia Mining Exploration Tax Credit, with details of qualified expenses and calculated credit amount.
If applying as a member of a partnership, also complete the British Columbia Mining Exploration Tax Credit Partnership Schedule (T1249).
Step 3: Prepare Corporate Tax ReturnEnter the credit amount on line 673 of Schedule 5, Tax Calculation Supplementary – Corporations.
Step 4: Submit ApplicationSubmit Schedule 421, your completed T2 Corporation Income Tax Return, and all relevant schedules to the Canada Revenue Agency.
Ensure submission is within 18 months after the end of the tax year.

Additional information

The mining exploration tax credit is fully refundable but must first offset income tax payable.
There are no carry-back or carry-forward provisions; the credit must be claimed within 18 months after the tax year ends.
An enhanced credit rate of 30% is available for exploration activities in Mountain Pine Beetle affected areas.
Contact information for both eligibility questions and claim submissions is provided through designated provincial and federal offices.