Yukon Manufacturing and Processing Profits Tax Credit
YT, Canada
Tax credit for Yukon manufacturing and processing
grant_single_labels|summary
grant_single|eligibleFinancing
- grant_single|maxCount
- grant_single|projectCostPercent
grant_single|deadlines
- grant_single|openingDateJuly 1, 1999
grant_single|financingType
Tax Credits
grant_single|eligibleIndustries
- Manufacturing
- Professional, scientific and technical services
grant_single|grantors
- Government of Yukon
- Department of Finance (YK)
grant_single|status
grant_card_status|open
grant_single_labels|preview
Large corporations engaged in manufacturing and processing may claim up to 9.5% on profits earned in Yukon. Small corporations may claim up to 0.5%.
grant_single_labels|projects
This grant offers benefits specific to the manufacturing and processing sector in Yukon. Eligible activities relate to the operations of corporations engaged in the manufacturing and processing within the territorial jurisdiction of Yukon.
- Manufacturing and processing activities conducted by corporations in the Yukon.
grant_single|admissibleProjectsExample
$ 25,000
Developing a new line of eco-friendly packaging products
$ 20,000
Implementing an energy-saving initiative in the manufacturing process
$ 15,000
Creating a community education program on sustainable manufacturing practices
$ 25,000
Upgrading manufacturing equipment for higher efficiency and reduced waste
$ 25,000
Automating a portion of the assembly line to increase production efficiency
$ 20,000
Launching a recycling initiative to repurpose manufacturing by-products
grant_single_labels|admissibility
Eligible Yukon organizations must meet specific criteria to apply for the Business Investment Tax Credit.
- Be an incorporated, private corporation.
- Maintain permanent establishment in the Yukon.
- Have its head office located in the Yukon.
- Pay at least 25% of its salaries and wages to Yukon residents.
- Not exceed $100 million in assets.
grant_eligibility_criteria|who_can_apply
Individuals and corporations in Yukon can apply for the various tax credits and benefits outlined. Specific eligibility criteria apply for different credits: Yukon residents can access the Yukon Child Benefit and First Nations Income Tax Credit if residing on settlement land of designated First Nations. For the Business Investment Tax Credit, Yukon residents aged 19 and older can invest in eligible Yukon organizations. Corporations, both large and small, involved in manufacturing and processing in Yukon can apply for related tax credits. Political contributions tax credit is available for contributions to recognized territorial parties or candidates. The research and development tax credit is open to Yukon residents and corporations conducting eligible research in the territory. For a foreign tax credit, individuals or corporations who've paid foreign income tax and are now paying Yukon taxes can apply. Each program or credit has specific criteria that must be met.
grant_eligibility_criteria|who_cannot_apply
Some types of companies may not be eligible for the grant. For example, companies that do not meet the residency requirements or asset limits specified in the eligibility criteria may not qualify.
- Companies not meeting the residency requirements
- Companies exceeding the specified asset limits
grant_eligibility_criteria|eligible_expenses
This grant outlines several tax credit initiatives aimed at supporting individuals and corporations in the Yukon. The eligible activities focus on investments, research and development, manufacturing, and political contributions.
- Investing in eligible Yukon organizations to claim the Business Investment Tax Credit.
- Claiming the Manufacturing and Processing Profits Tax Credit for larger corporations in manufacturing and processing sectors.
- Engaging in scientific research and experimental development to utilize the Research and Development Tax Credit.
- Contributing to recognized territorial political parties or candidates to claim the Political Contributions Tax Credit.
- Applying for the Foreign Tax Credit when foreign income or profits tax has been paid to avoid double taxation.
grant_eligibility_criteria|zone
This tax credit is available to corporations manufacturing and processing within the Yukon territory. The eligibility is region-specific, focusing on supporting local economic activities.
- Corporations residing in the Yukon.
- Companies with manufacturing and processing operations within the Yukon territory.
grant_single_labels|criteria
There are evaluation and selection criteria for this grant.
- Investors must be 19 years of age or older and Yukon residents.
- Eligible Yukon organizations must meet specific criteria, including being an incorporated private corporation with a head office located in the Yukon.
- The maximum claim for the Business Investment Tax Credit is $25,000 per taxation year.
- Unused amounts can be carried back 3 years or forward 7 years.
- Eligible organizations can issue shares to investors in exchange for a 25% tax credit on the amount invested.
grant_single_labels|register
Here are the steps to submit an application for the Yukon income tax benefits and credits:
- Step 1: Gather Required Documentation
- Ensure you have all necessary personal or corporate tax documents.
- Verify eligibility by reviewing specific program requirements.
- Step 2: Access CRA Resources
- Visit the CRA website to download necessary forms and publications related to Yukon income tax measures.
- Contact CRA for guidance if needed by calling 1-866-426-1527 (within Yukon's 867 area code).
- Step 3: Complete Relevant Application Forms
- Complete all required sections of the applicable tax credit forms.
- Use forms such as the General Income Tax Package (T1) or Corporation Income Tax Return (T2) as applicable.
- Step 4: Submit Application
- Submit the completed tax return or credit form online through the CRA portal or via mail to the designated CRA address.
- Step 5: Confirmation and Follow-Up
- Receive confirmation from the CRA upon successful submission.
- Retain all records and confirmations for future reference.
grant_single_labels|otherInfo
Here are additional details regarding Yukon income tax measures:
- The Yukon child benefit is added to the Canada child benefit, making it a single monthly payment.
- The Yukon Business Investment Tax Credit came into effect on July 1, 1999.
- For the Research and Development Tax Credit, the credit is refundable if it exceeds your payable income tax.
- You need to claim the Research and Development Tax Credit within 12 months of the tax-return filing due date.
- Personal income tax rates have specific thresholds and brackets, affecting how much tax Yukoners pay based on their income level.
grant_single_labels|contact
fininfo@yukon.ca
1-866-426-1527
