Tax credit for conversion of a ship

• The shipyard must be located in Quebec and have direct access to a navigable waterway.
• The shipyard must have workshops for the construction under permanent shelter of entire vessels or modules, as well as the necessary infrastructure for launching.
• The shipyard must have built or rebuilt, within the last five years, a vessel or a barge of more than 50 gross tons for a client without a dependency link.
• The vessel in question must be of a volume of 50 gross tons and more, used for the transport of goods, people or specialized services, or undergoing a major transformation concerning essential elements.

Who is eligible?

• Shipyards located in Quebec with infrastructure for the construction or transformation of ships.

Eligible expenses

• Cost of plans and specifications for the construction of the eligible ship (or only the part carried out in Quebec).
• Expenses incurred for salaries related to plans and specifications carried out in Quebec.
• Salaries of employees directly connected to the transformation of the ship.

Eligible geographic areas

• Companies located in Quebec

• Justification and adequacy of construction costs in relation to market standards.
• Demonstration of the potential for repetition for a prototype ship (commitments, letters of intent, or market study).
• Proof of an investment in innovation in planning, production processes, or the integration of advanced or environmentally friendly technologies.

• Step 1: Preparation of the eligibility certificate applicationSave the application form on your computer before filling it out.
• Fill out the form with a brief description of the ship project, an assessment of its gross tonnage, and any other available information.
• Attach the preliminary plans and specifications of the project.
• Step 2: Submission of the eligibility certificate applicationSubmit the completed application form, accompanied by supporting documents, to certificat-maritime@economie.gouv.qc.ca.
• Step 3: Request for a pre-eligibility opinion (optional)If necessary, contact certificat-maritime@economie.gouv.qc.ca to request a pre-eligibility opinion to verify the compliance of the project.
• Step 4: Request for ship certificateUpon signing the ship construction contract, submit a request for a ship certificate including the previous application, a copy of the signed contract, the stipulated plans and specifications, as well as a completed and signed application form.
• For related companies, attach a comparison with the current prevailing price to justify costs.
• Step 5: Once the certificate is obtained, fill out the Tax Credit for the Construction or Transformation of a Ship form.
• Step 6: Attach all required documents to your tax return.

• The eligibility certificate is valid for a maximum period of three years from the date the application is submitted.
• The project must start no later than two years after the issuance of the eligibility certificate.
• The renewal of the eligibility certificate may require a revision and update of the documentation.
• The process is free, no fees are required for the application of the certificate.