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Source verified July 28, 2026
Clean Technology (CT) Investment Tax Credit (ITC)
Refundable tax credit for new clean technology property
Latest source updateLast Update: August 3, 2026Latest change: A new technical guide for wind energy conversion systems now defines eligible and ineligible properties for the Clean Technology ITC.View change
Latest source update
Last Update: August 3, 2026
Latest change: A new technical guide for wind energy conversion systems now defines eligible and ineligible properties for the Clean Technology ITC.
Wind energy guide published for CT ITC
A new technical guide for wind energy conversion systems is now available for the Clean Technology Investment Tax Credit. It sets out eligible and ineligible properties, qualifying requirements, and costs typically included in the capital cost of this type of clean technology property. The guide states that it is the first edition and reflects the Income Tax Act and Income Tax Regulations current as of September 29, 2025.
Funding available
Up to 30% of project cost
Deadline
December 31, 2034
Location
Canada
Who can apply
Taxable Canadian corporations, including taxable Canadian corporations that are members of a partnership.
See full eligibility
Overview
The Clean Technology Investment Tax Credit (ITC) offers a refundable credit of up to 30% for Canadian corporations and real estate investment trust mutual fund trusts investing in clean technology property in Canada through 2034. Eligible property includes solar or wind generation equipment, heat pumps, and non-road zero-emission vehicles with related charging or refuelling equipment.
/100
Opportunity Score
Moderate potential, but conditions must align.
At a glance
Funding available
Financing goals
- Implement environmental initiatives
- Reduce environmental footprint
Eligible Funding
- Up to 30% of project cost
Eligible candidates
Eligible Industries
- All industries
Location
- Canada
Legal structures
- For-profit business
Annual revenue
- All revenue ranges
Organisation size
- All organization sizes
Audience
- Canadians
Next Steps
1
Determine your project
2
Validate your eligibility
Activities funded
- Equipment used to generate electricity from solar, wind, and water energy.
- Fixed location electrical energy storage property or pumped hydroelectric energy storage property, excluding equipment that uses any fossil fuel in operation.
- Active solar heating equipment, air-source heat pumps, and ground-source heat pumps.
- Non-road zero-emission vehicles and related charging and refueling equipment, including the use of hydrogen, that is used primarily for such vehicles.
- Equipment used exclusively for geothermal energy, concentrated solar energy equipment, small nuclear energy property, and waste biomass electricity or heat generation equipment acquired after November 20, 2023.
Documents Needed
- Schedule 75 for the Clean Technology ITC
- Schedule 31, Investment Tax Credit - Corporations
- T5013 Statement of Partnership Income
- T5013 Schedule 75
- Form T1098, Clean Technology Investment Tax Credit
Official resources
Program guide
Application form
Eligibility
Who is eligible?
- Taxable Canadian corporations, including taxable Canadian corporations that are members of a partnership.
- Mutual fund trusts that are real estate investment trusts, including such trusts that are members of a partnership.
Eligible expenses
- The capital cost of acquiring eligible clean technology property.
- Legal, accounting, engineering or other fees incurred to acquire the property.
- Site preparation, delivery, installation, testing, or other costs incurred to put the property into service.
- For property manufactured for the taxpayer's own use, material, labour and overhead costs reasonably attributable to the property, but not any profit which might have been earned had the asset been sold.
Ineligible Costs and Activities
- Expenditures incurred for preliminary work activity.
- Obtaining a right of access or right of way to a project site, or obtaining permits or regulatory approvals, including conducting environmental assessments.
- Front-end design or engineering work or process engineering work for project development, including site data collection and analysis, energy, mass, water or air balance calculations, process design simulations and analysis, optimum process design selection, and feasibility or prefeasibility studies.
- Clearing or excavating land, except excavation directly related to the installation of clean technology property, and constructing a temporary access road to the project site.
- Drilling of a well.
Eligible geographic areas
- The exclusive economic zone of Canada, for property described in subparagraph (d)(v) or (xiv) of Class 43.1 in Schedule II to the Income Tax Regulations.
How to apply
- Corporations claim the Clean Technology ITC when filing their annual T2 return using their normal filing method.
- Individual corporations must attach Schedule 75 for the Clean Technology ITC and Schedule 31, Investment Tax Credit - Corporations, and complete line 155 of Schedule 31.
- Partnerships must include a T5013 Statement of Partnership Income and a T5013 Schedule 75 showing each member’s allocated share for the year, the labour requirements election, attestation and addition to tax, and any ITC recapture, if applicable.
- Each member of a partnership must attach these forms to their T2 or T3 return, along with any other required information.
- Mutual fund trusts that are real estate investment trusts claim the Clean Technology ITC when filing their T3 Trust Income Tax and Information Return, attach a completed Form T1098, and include the ITC amount on field 881, line 55.
Processing and Agreement
- After you submit your claim, the CRA audits the tax credit claim to determine the eligibility of expenses.
- If you elected to meet the labour requirements, the CRA will also verify that those requirements were met to receive the regular tax credit rate.
- The CRA may request additional information or documentation about your project or expenditures, including support for the labour requirements.
- After reviewing the additional information, the CRA will issue a written summary of the review findings; if changes are proposed, you will have 30 days to respond before your return is assessed or reassessed.
- Once the audit is complete, the CRA will deliver the credit payment or apply the credit against tax owing.
Additional information
- The Canada Revenue Agency administers the credit claim, while Natural Resources Canada provides engineering and scientific guidance on clean technology property.
- You may claim both the Clean Technology ITC and the Atlantic investment tax credit for the same eligible property.
- You may claim multiple Clean Economy ITCs for the same project if the project includes different types of eligible property, but you can generally claim only one Clean Economy ITC for the same eligible property.
- Additional tax incentives may be available for clean technology property that is also described in Class 43.1 and 43.2, including accelerated capital cost allowance.
Contacts
Frequently Asked Questions about the Clean Technology (CT) Investment Tax Credit (ITC) Program
What is the Clean Technology (CT) Investment Tax Credit (ITC)?
The Clean Technology Investment Tax Credit (ITC) offers a refundable credit of up to 30% for Canadian corporations and real estate investment trust mutual fund trusts investing in clean technology property in Canada through 2034. Eligible property includes solar or wind generation equipment, heat pumps, and non-road zero-emission vehicles with related charging or refuelling equipment.
How much funding can be received?
Clean Technology (CT) Investment Tax Credit (ITC) Funds up to 30% of admissible expenses.
Who is eligible for the Clean Technology (CT) Investment Tax Credit (ITC) program?
To be eligible for the Clean Technology (CT) Investment Tax Credit (ITC) program, you must:
The claimant must be a taxable Canadian corporation, including one that is a member of a partnership.
The claimant may also be a mutual fund trust that is a real estate investment trust, including one that is a member of a partnership.
What expenses are eligible under Clean Technology (CT) Investment Tax Credit (ITC)?
Equipment used to generate electricity from solar, wind, and water energy.
Fixed location electrical energy storage property or pumped hydroelectric energy storage property, excluding equipment that uses any fossil fuel in operation.
Active solar heating equipment, air-source heat pumps, and ground-source heat pumps.
Non-road zero-emission vehicles and related charging and refueling equipment, including the use of hydrogen, that is used primarily for such vehicles.
Equipment used exclusively for geothermal energy, concentrated solar energy equipment, small nuclear energy property, and waste biomass electricity or heat generation equipment acquired after November 20, 2023.
Who can I contact for more information about the Clean Technology (CT) Investment Tax Credit (ITC)?
You can contact Natural Resources Canada (NRCan) by email at cleaneconomycpb-economiepropredgpo@cra-arc.gc.ca or by phone at 1-855-825-3262.
Where is the Clean Technology (CT) Investment Tax Credit (ITC) available?
The Clean Technology (CT) Investment Tax Credit (ITC) program is available across Canada.
Is the Clean Technology (CT) Investment Tax Credit (ITC) a grant, loan, or tax credit?
Clean Technology (CT) Investment Tax Credit (ITC) is a Tax Credits