Small Business Venture Capital Tax Credit Program (Manitoba, Canada)

From Open Energy Information


Last modified on February 12, 2015.

EZFeed Policy

Place Manitoba


Applies to States or Provinces Manitoba
Name Small Business Venture Capital Tax Credit Program (Manitoba, Canada)
Policy Category Financial Incentive
Policy Type Corporate Tax Incentive, Personal Tax Incentives
Affected Technologies Biomass/Biogas, Concentrating Solar Power, Energy Storage, Fuel Cells, Geothermal Electric, Hydroelectric (Small), Solar Photovoltaics, Tidal Energy, Wave Energy, Wind energy
Active Policy Yes
Implementing Sector State/Province














Program Administrator SBVC Tax Credit Program
Primary Website http://www.gov.mb.ca/jec/busdev/financial/#SBVCTC


Last Review 2014-09-05
Last Substantive Modification
to Summary
2014-09-05
Information Source Guide to the Small Business Venture Capital Tax Program:

http://www.gov.mb.ca/jec/pdfs/sbvctc_guiding.pdf


Summary

The Small Business Venture Capital Tax Credit Program (SBVCTC) assists eligible small corporations to issue new equity to primarily new investors.

Eligible small business corporations can issue eligible shares for new equity investments of $100,000 up to a maximum of $10, 000,000. Eligible investors who purchase eligible investments are able to earn a 45% non-refundable tax credit against Manitoba taxes payable. The SBVC tax credit is not a tax benefit for the eligible corporation.

An eligible investor must invest a minimum of $20,000 during the approval period to be eligible for the tax credit; the maximum investment for tax credit eligibility purposes is $450,000. The maximum tax credit that may be earned is $202,500, and the maximum that can be claimed in a tax year is $67,500. Any unused tax credit may be carried forward for up to ten years or carried back for three years.

An applicant will be eligible to issue shares under the SBVC tax credit program if it meets ALL the following criteria: 1. a Canadian Controlled Private Corporation (CCPC) with a permanent establishment in Manitoba; 2. all, or substantially all of the corporation's assets are used in active business; 3. all, or substantially all of the corporation's revenue is derived from active business 4. the corporation's stated capital is at least $25,000 prior to the issue of eligible shares; 5. the corporation has either: a. 50 or less full time equivalent employees (defined below), or b. Less than $15 million in gross revenue 6. 25% of the corporation's employees are resident in Manitoba; 7. it is not a Reporting Issuer as defined in The Securities Act (Manitoba (http://web2.gov.mb.ca/laws/statutes/ccsm/s050e.php); and 8. it has previously issued less than $10,000,000 in eligible shares under the SBVC tax credit program either on its own, or combined with an affiliated company.


<metadesc> Small Business Venture Capital Tax Credit Program (Manitoba, Canada): energy incentive program. </metadesc>

Policy Contact

Department Manitoba Entrepreneurship, Training and Trade
Division Financial Services Branch
Address 1040 – 259 Portage Avenue
Place Winnipeg, Manitoba
Zip/Postal Code R3B 3P4
Phone 204-945-5839
Phone 2 1-800-282-8069
Fax 204-945-1193



















References