Saskatchewan Mineral Exploration Tax Credit (SMETC)
No fixed amount
Tax Credit
Description:
Saskatchewan residents can invest in mineral exploration activities within the province by purchasing eligible flow-through shares issued by approved mineral exploration companies under the Saskatchewan Mineral Exploration Tax Credit (SMETC) program. The tax credit is 45 per cent to 60 per cent (30 per cent provincial and 15 per cent to 30 per cent federal).
Flow-through shares allow mineral exploration companies to renounce or “flow through” tax expenses associated with their Saskatchewan exploration activities to investors, who can deduct the expenses in calculating their own taxable income.
Comments on Funding:
Rolling Deadline
Eligibility:
Applicants must:
1. be individual Investors;
2. be partnerships;
3. be exploration companies;
4. be residents of Saskatchewan.
Application Steps:
Applicants must be:
1. Any mineral exploration company wishing to issue flow-through shares or flow-through warrants and take advantage of the tax credit must apply to the Saskatchewan Ministry of Energy and Resources.
2. Applicants must submit any applications or inquiries via email to metc@gov.sk.ca.
3. If the application is approved, the company will receive written permission to raise up to a maximum amount of capital for exploration activities in the province.
Documentation Needed:
Applicants must submit the following to metc@gov.sk.ca:
1. A copy of the completed Canada Revenue Agency (CRA) Form T100A Flow-Through Share Information – Application for a Selling Instrument T100 Identification Number (SITIN) plus all other related documents required by CRA;
2. A copy of the CRA approval letter containing the Selling Instrument T100 Identification Number (SITIN) or T100 Identification Number (TIN); and
3. A list of the Saskatchewan Disposition Number(s) where the mineral exploration is occurring.
Other Things to Note:
About the author
Maurice
