Alberta Agri-processing Investment Tax Credit

By mmuise
Description:

The Agri-processing Investment Tax Credit (APITC) provides a 12% non-refundable tax credit against eligible capital expenditures for corporations investing $10 million or more to build or expand agri-processing facilities in Alberta.


Comments on Funding:

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Deadline: Continuous Intake
Eligibility:

Applicants must:

  • be incorporated, registered, or continued under Alberta’s Business Corporations Act; and satisfy eligibility conditions set out in the Investing in a Diversified Alberta Economy Act (Part
  • 1) and the Agri-processing Investment Tax Credit Regulation;
  • have projects meeting the following criteria:
    a) be physically located in Alberta;
    b) have at least CAD $10 million in new capital expenditures;
    c) be a new value-added agricultural processing facility or a significant expansion of an existing value-added agricultural processing facility:
    i. demonstrate the eligible capital expenditures are for the purposes of establishing productive capacity (for new facilities) or increasing productive capacity of an existing facility;
    ii. For facility expansions, a baseline report must be completed prior to initiating the expansion and again following the expansion. Successful applicants will be required to provide evidence confirming that the eligible capital expenditure resulted in an increase in productive capacity;
    d) meet the program’s definition of eligible value-added agricultural activity:
    i. The physical transformation or upgrading of any raw or primary agricultural project or any agricultural by-product or waste into a new or upgraded product. This includes further physical transformation or upgrading of agricultural inputs that have previously been transformed or upgraded.
  • have capital expenditures meeting the following criteria:
    a) be directly related to establishing productive capacity (in the case of a new facility) or increasing productive capacity (in the case of a facility expansion);
    b) be made on or after February 7, 2023 may be considered in the calculation of the tax credit;
    c) not be the result of a transaction between affiliates;
    d) not include any portion of eligible expenditure supported by federal, provincial and/or municipal assistance, including a grant, subsidy, forgivable loan, deduction from tax or investment allowance;
    e) meet conditions set out in the Investing in a Diversified Alberta Economy Act (Part
  • 1) and the Agri-processing Investment Tax Credit Regulation.
Application Steps:

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Documentation Needed:

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Other Things to Note:

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About the author
mmuise