How much funding can be received?

Funds up to 20% of admissible expenses, capped at $1000000 per project.

What is the deadline to apply?

The deadline to apply is not specified.

Who are the financial supporters of the Newfoundland and Labrador green technology tax credit?

Newfoundland and Labrador green technology tax credit is funded by Government of Newfoundland and Labrador

What are Newfoundland and Labrador green technology tax credit's eligibility criterias?

Canadian-controlled private corporation (CCPC) Permanent establishment in Newfoundland and Labrador Invests in eligible green equipment located and used in the province

Newfoundland and Labrador green technology tax credit

Last Update: April 27, 2025

NL, Canada

Tax credit for corporations investing in green technology equipment

Newfoundland and Labrador green technology tax credit at a glance

Eligible Funding

Max. $1,000,000
Up to 20% of project cost

Timeline

Continuous Intakes

Financing Type

Tax Credits

Eligible Industries

Mining, quarrying, and oil and gas extraction
Utilities
Construction
Manufacturing
Administrative and support, waste management and remediation services

Grant Providers

Government of Newfoundland and Labrador

Status

Open

Overview of the Newfoundland and Labrador green technology tax credit program

The Newfoundland and Labrador Green Technology Tax Credit offers Canadian-controlled private corporations a 20% credit on eligible green technology equipment investments, up to a maximum of $1 million annually. This program supports renewable energy generation, energy conservation, use of fuels from waste, and efficient fossil fuel use within the province.

Financing terms and conditions

Provides a tax credit equal to 20% of the capital cost of eligible equipment, up to a maximum of $1 million annually per corporation.
Up to 40% of the credit amount can be refunded if it is not applied to reduce provincial tax payable.
Unused credits may be carried forward for up to 20 years or carried back for up to 3 years, but not to any taxation year that ends before April 7, 2022.

Eligible projects & activities

Investing in equipment that generates renewable-source energy.
Implementing systems that conserve energy derived from renewable sources.
Adopting technologies that use fuels produced from waste.
Enhancing processes for more efficient use of fossil fuels.

Examples of admissible projects:

$ 42,000

Launching an online reservation system for a community co-op

$ 26,000

Launching a composting educational program in underserved schools

$ 60,000

Creating an outdoor seating area with accessible garden infrastructure

$ 37,000

Implementing automated point-of-sale and inventory systems for pharmacy

$ 48,500

Expanding literacy services by acquiring adaptive technology and software

$ 75,000

Upgrading bakery equipment for higher energy efficiency and output

Eligibility criteria of the Newfoundland and Labrador green technology tax credit program

The applicant must be a Canadian-controlled private corporation (CCPC).
The corporation must have a permanent establishment in Newfoundland and Labrador.
The project must involve the acquisition of eligible equipment that generates or conserves renewable energy, uses fuels from waste, or improves fossil fuel efficiency.
The eligible equipment must be located in Newfoundland and Labrador and used in the course of business in the province.
The equipment must qualify as capital property under Class 43.1 or 43.2 of the federal Income Tax Act.

Who is eligible?

Canadian-controlled private corporations (CCPCs) with a permanent establishment in Newfoundland and Labrador

Eligible expenses

Capital cost of equipment that generates or conserves renewable-source energy.
Capital cost of equipment that uses fuels from waste.
Capital cost of equipment that makes efficient use of fossil fuels.

Eligible geographic areas

Newfoundland and Labrador

How to apply to the Newfoundland and Labrador green technology tax credit program

Step 1: Acquire Eligible EquipmentInvest in equipment that qualifies under Class 43.1 or 43.2 of the federal income tax act and ensure it is located and used in Newfoundland and Labrador.
Step 2: Prepare Tax DocumentationCalculate the capital cost of the eligible property to determine the credit amount (20% of capital cost, up to a maximum annual credit of $1 million).
Gather all purchase documentation and asset classification supporting documents.
Step 3: Complete Corporate Income Tax ReturnReport the Green Technology Tax Credit on the corporation’s Newfoundland and Labrador income tax return.
Apply the credit to reduce provincial tax otherwise payable.
If applicable, claim a refund for up to 40% of the total credit amount not used to reduce taxes payable.
Step 4: Submit Application with Tax ReturnSubmit your completed corporate income tax return including all relevant schedules and supporting documentation to the provincial tax authorities.
Step 5: Track Unused CreditsIf there are unused credits, keep records for possible application to prior three or next twenty tax years (cannot apply to years before April 7, 2022).

Additional information

The maximum annual credit per corporation is $1 million, with up to 40% of that amount eligible for refund.
The credit can be carried back three years or forward up to twenty years, but not to a tax year ending before April 7, 2022.
Questions regarding Class 43.1 or 43.2 property should be directed to the Canada Revenue Agency or referenced in the Natural Resources Canada technical guide.