Equipment Purchasing Tax Credit
The Enriched Investment Tax Credit adds to the existing PEI Investment Tax Credit of 10 per cent. It is applied to certain capital investments by manufacturing and processing companies. An enriched tax rebate of 25 per cent will be available through a pre-approved certificate process for high-productivity applications with a strong export focus.
Am I eligible for the Enriched Investment Tax Credit?
You may apply if your business is involved in manufacturing or processing, as defined by Canada’s Income Tax Act. Canada Revenue Agency Interpretation Bulletin IT-145R offers information about “manufacturing and processing” and how it applies to specific industries. The Enriched Investment Tax Credit is the same. You may apply if you intend to make a qualified investment in unused capital property that meets the guidelines for tax-deferred status.
How do I apply?
To qualify for the 10 per cent Investment Tax Credit, you will proceed as usual. After making the eligible investment you will claim the credit when you file your income tax. To access the 25 per cent tax rebate, you will first submit proposals to Innovation PEI. The credit will be issued on approval. The rebate will be offered after you provide cost information, with the certificate and the appropriate income tax filing, to Innovation PEI.
Application must be submitted before any financial or legal commitment is made on the project.
Business Development Application (PDF)
Business Development Application (Online)
*This information is provided for information purposes and is not comprehensive and reflective of all Innovation PEI policies. Not all projects meeting the minimum assistance criteria outlined will receive funding. Please consult with an Innovation PEI staff member for guidance specific to your company's situation.
General Contact Information
94 Euston Street, PO Box 910
Charlottetown, PE C1A 7L9
Telephone: (902) 368-6300
Facsimile: (902) 368-6301
Toll-free: 1-800-563-3734
Email: business@gov.pe.ca