Get a 10% refundable Corporate Income Tax credit, up to $50,000, if you are building, renovating or acquiring commercial or industrial buildings in designated regions in Ontario.

Eligibility criteria

The eligibility criteria for the Regional Opportunities Investment Tax Credit grant in Ontario are as follows:

The corporation must be a Canadian-controlled private corporation throughout the tax year.
The corporation must have a permanent establishment in Ontario at the time a qualifying investment is made.
A qualifying investment must be made in a designated region of the province.
Investments must exceed $50,000 to qualify for the tax credit.
The tax credit amount applies to expenditures in excess of $50,000 up to a maximum of $500,000.
6. The investments must be used to acquire, construct, or renovate eligible commercial or industrial properties in a designated region.
The properties must become available for use on or after March 25, 2020, and in the taxation year in which the tax credit is being claimed.
Residential buildings are not eligible for the tax credit. These criteria outline the requirements that corporations must meet to be eligible for the Regional Opportunities Investment Tax Credit grant in Ontario.

Who is eligible

To apply for the Regional Opportunities Investment Tax Credit in Ontario, a company must meet the following criteria:

Be a Canadian-controlled private corporation throughout the tax year.
Have a permanent establishment in Ontario at the time a qualifying investment is made.
Make a qualifying investment in a designated region of the province. Corporations must invest more than $50,000 to qualify for the tax credit and may receive a tax credit of up to $45,000 in respect of qualifying investments in a year. The investment must be used to acquire, construct, or renovate eligible commercial and industrial buildings located in designated regions. Residential buildings are not eligible for this tax credit. The designated regions eligible for the tax credit include various areas in Northern and Southern Ontario. It's important to review the complete requirements and conditions outlined in the technical bulletin or the Taxation Act, 2007 to ensure eligibility for the Regional Opportunities Investment Tax Credit.

Eligible expenses

The eligible expenses for the Regional Opportunities Investment Tax Credit grant include:

Investing more than $50,000 to construct, renovate, or acquire eligible commercial and industrial buildings in designated regions
Qualifying investments in a designated region of the province
Expenditures in excess of $50,000 and up to $500,000 for eligible property
Acquiring, constructing, or renovating eligible properties in designated regions
Investments that become available for use on or after March 25, 2020
Expenditures incurred by the corporation across all designated regions These are the eligible expenses for this grant.

Eligible projects & activities

There are specific projects or activities eligible for this grant. Here they are listed in bullet points: - Constructing, renovating, or acquiring eligible commercial and industrial buildings in designated regions - Investing more than $50,000 in the designated regions - Making qualifying investments in a designated region of the province These projects or activities must meet the eligibility criteria outlined for the Regional Opportunities Investment Tax Credit.

Eligible geographic areas

Northern Ontario
District of Algoma
District of Cochrane
District of Kenora
District of Manitoulin
District of Nipissing
District of Parry Sound
District of Rainy River
District of Sudbury together with the City of Greater Sudbury
District of Thunder Bay
District of Timiskaming
Southern Ontario
City of Kawartha Lakes
County of Bruce
County of Elgin together with the City of St. Thomas
County of Essex together with the City of Windsor and Township of Pelee
County of Frontenac together with the City of Kingston
County of Grey
County of Haliburton
County of Hastings together with the City of Belleville and City of Quinte West
County of Huron
County of Lambton - County of Lanark together with the Town of Smiths Falls
County of Lennox and Addington
County of Middlesex together with the City of London
County of Northumberland
County of Oxford
County of Perth together with the City of Stratford and the Town of St. Marys
County of Peterborough together with the City of Peterborough
County of Prince Edward
County of Renfrew together with the City of Pembroke
District of Muskoka
Municipality of Chatham‐Kent
United Counties of Leeds and Grenville together with the City of Brockville, the Town of Gananoque and the Town of Prescott
United Counties of Prescott and Russell
United Counties of Stormont, Dundas and Glengarry together with the City of Cornwall

Evaluation & selection criteria

Canadian-controlled private corporation throughout the tax year
Permanent establishment in Ontario at the time a qualifying investment is made
Qualifying investment in a designated region of the province
Invest more than $50,000 in eligible commercial and industrial buildings
Eligible property must become available for use on or after March 25, 2020, and in the taxation year in which the tax credit is being claimed

How to apply

To apply for the Regional Opportunities Investment Tax Credit in Ontario, follow these steps:

1. Ensure your corporation meets the eligibility criteria:

Be a Canadian-controlled private corporation throughout the tax year
Have a permanent establishment in Ontario at the time of the qualifying investment
Make a qualifying investment in a designated region of the province

2. Invest more than $50,000 in eligible commercial or industrial buildings in the designated regions.

3. Ensure the investments are used to acquire, construct, or renovate eligible properties in the designated regions.

4. Make sure the investments become available for use on or after March 25, 2020, and in the taxation year for which the tax credit is being claimed.

5. Claim the tax credit on your T2 Corporation Income Tax return, administered by the Canada Revenue Agency (CRA).

Additional information

The Regional Opportunities Investment Tax Credit is a 10% refundable Corporate Income Tax credit for corporations that invest more than $50,000 in eligible commercial and industrial buildings in designated regions.
A temporary enhancement to the credit provides an additional 10% credit for eligible expenditures in excess of $50,000 and up to $500,000 for eligible property.
To be eligible, a corporation must be a Canadian-controlled private corporation, have a permanent establishment in Ontario, and make a qualifying investment in a designated region.
Qualifying investments must be used to acquire, construct, or renovate eligible properties in designated regions and become available for use in the taxation year in which the tax credit is claimed.
The tax credit amount applies to expenditures exceeding $50,000 up to a maximum of $500,000.
Residential buildings are not eligible for the tax credit.
The credit supports designated regions in Northern Ontario and Southern Ontario that lagged in employment growth between 2009 and 2019. - The maximum tax credit a corporation may receive in a year is $45,000 for the regular credit and $90,000 for the enhanced credit.
The Canada Revenue Agency administers the tax credits on behalf of Ontario, and corporations can claim the credit on their T2 Corporation Income Tax return.

Documents and links

Regional Opportunities Investment Tax Credit

Apply to this program