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Tax credit for biodiesel production in Quebec
Last Update: March 4, 2026
Quebec, Canada
Supports Quebec companies producing eligible biodiesel before April 2023
Tax Credits
Overview
The Tax Credit for Biodiesel Production in Quebec supports eligible corporations that produce qualifying biodiesel within the province before April 1, 2023. The program provides a refundable tax credit for companies operating a biodiesel production business in Quebec; the specific maximum funding amount is not indicated in the available information.
At a glance
Funding available
Financing goals
- Reduce the ecological footprint
Eligible Funding
- No Condition
Timeline
- Open continuously
Eligible candidates
Eligible Industries
- Manufacturing
Location
- Quebec
Legal structures
- For-profit business
Annual revenue
- All revenue ranges
Organisation size
- All organization sizes
Audience
- Startups
Activities funded
- Production of biodiesel within the province of Quebec.
Examples of admissible projects:
$ 86,000
Expanding local childcare with outdoor classroom and learning materials
$ 90,000
Developing online resale platform with digital skills training workshops
$ 130,000
Launching a SaaS platform for local volunteer matching services
$ 107,000
Improving accessibility in a community art studio with renovation
$ 100,000
Upgrading commercial bakery with energy-efficient ovens and mixers
$ 67,000
Replacing cooperative housing lighting with modern LED and controls
Eligibility
- The company must have an establishment in Quebec and operate a business that produces eligible biodiesel in Quebec during its taxation year.
- The company must not be exempt from tax for the taxation year.
- The company must not be a Crown corporation or a wholly controlled subsidiary of such a corporation.
Who is eligible?
- Corporations operating a biodiesel production business in Quebec
Who is not eligible
- Companies that are exempt from income tax for the taxation year.
- Crown corporations or wholly owned subsidiaries of such corporations.
- Companies that have applied for an initial eligibility certificate for the deduction related to income from a major investment project, for activities resulting from that specific project.
Eligible geographic areas
- Quebec
How to apply
- Step 1: Enter Credit Information in Tax ReturnReport the biodiesel production tax credit on one of lines 440p to 440y of the corporate income tax return.
- Include the name of the tax credit, its code (103), and the amount claimed in the designated fields.
- Step 2: Gather Required DocumentationComplete and attach the form "Crédit d'impôt pour production de biodiesel au Québec" (CO-1029.8.36.OB).
- Prepare a monthly report for the fiscal year detailing the company’s eligible biodiesel production in Quebec.
- Attach the form "Entente concernant le crédit d'impôt pour production de biodiesel au Québec" (CO-1029.8.36.OE), if applicable.
- Step 3: Submit Application and Supporting DocumentsInclude all required forms and supporting documentation with the company’s corporate income tax return.
- If documents cannot be attached to the tax return, send them separately no later than twelve months after the company's filing deadline.
- Applications and documents can be sent online using certified software or by mail.
- For mail submissions, clearly indicate the company name, identification numbers, and fiscal year-end date on all documents.
- It is advisable to send all documents together in one package for faster processing.
Additional information
- A corporation eligible for this tax credit cannot claim the investment tax credit or the investment and innovation tax credit for property used in operating a biodiesel production facility in Quebec.
- If a corporation has applied for an initial eligibility certificate related to the deduction for income from a major investment project, it cannot benefit from this biodiesel production tax credit for activities related to that project.
- If sending documents by mail, each document must include the company name, identification and file numbers, and the closing date of the financial year.
- It is preferable to submit all required documents in a single package to speed up processing.




