Closed
Source verified July 9, 2026
Direct Equity Tax Credit
Tax relief for eligible equity investments
Funding available
$ 50,000
Deadline
Open continuously
Location
Newfoundland and Labrador, Canada
Who can apply
Individuals 19 years of age or older who are residents of Newfoundland and Labrador or otherwise paying income tax to the Province.
See full eligibility
Overview
Newfoundland and Labrador Direct Equity Tax Credit provides eligible investors with a 35% or 20% tax credit for direct investments in eligible shares of businesses in Newfoundland and Labrador, depending on whether qualifying activities occur inside or outside the Northeast Avalon. Eligible shares must be newly issued common voting shares paid for in cash.
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Opportunity Score
Moderate potential, but conditions must align.
At a glance
Funding available
Financing goals
- No objectives are currently available
Eligible Funding
- Maximum amount : 50,000 $
- Up to 35% of project cost
Eligible candidates
Eligible Industries
- All industries
Location
- Newfoundland and Labrador
Legal structures
- For-profit business
Annual revenue
- All revenue ranges
Organisation size
- All organization sizes
Audience
- Rural or Northern Residents
- Startups
Next Steps
1
Determine your project
2
Validate your eligibility
Documents Needed
- Schedule 303, Newfoundland and Labrador Direct Equity Tax Credit
- Schedule 5, Tax Calculation Supplementary – Corporations
- Form NLDETC–1, Newfoundland and Labrador Direct Equity Tax Credit
- Each tax credit receipt issued by the Newfoundland and Labrador Department of Finance
Official resources
Application form
Eligibility
Who is eligible?
- Individuals 19 years of age or older who are residents of Newfoundland and Labrador or otherwise paying income tax to the Province.
- Corporations that operate at arm’s length from the eligible business.
Eligible geographic areas
- Northeast Avalon
How to apply
- Complete Schedule 303, Newfoundland and Labrador Direct Equity Tax Credit.
- Enter the credit amount on line 505 of Schedule 5, Tax Calculation Supplementary – Corporations.
- File Schedule 303, Schedule 5, Form NLDETC–1, and each tax credit receipt with your return.
Contacts
Frequently Asked Questions about the Direct Equity Tax Credit Program
What is the Direct Equity Tax Credit?
Newfoundland and Labrador Direct Equity Tax Credit provides eligible investors with a 35% or 20% tax credit for direct investments in eligible shares of businesses in Newfoundland and Labrador, depending on whether qualifying activities occur inside or outside the Northeast Avalon. Eligible shares must be newly issued common voting shares paid for in cash.
How much funding can be received?
Direct Equity Tax Credit Funds up to 35% of admissible expenses, capped at $50,000 per project.
Who is eligible for the Direct Equity Tax Credit program?
To be eligible for the Direct Equity Tax Credit program, you must:
Individuals must be 19 years of age or older and residents of Newfoundland and Labrador, or otherwise paying income tax to the Province.
Corporations must operate at arm’s length from the eligible business.
Who can I contact for more information about the Direct Equity Tax Credit?
You can contact Government of Newfoundland and Labrador (CBDC) or by phone at 1-800-959-7775.
Where is the Direct Equity Tax Credit available?
The Direct Equity Tax Credit program is available the province of Newfoundland and Labrador.
Is the Direct Equity Tax Credit a grant, loan, or tax credit?
Direct Equity Tax Credit is a Tax Credits
Who are the financial supporters of the Direct Equity Tax Credit?
Direct Equity Tax Credit is funded by Government of Newfoundland and Labrador (CBDC), Canada Revenue Agency (CRA)