Clean Technology Investment Tax Credit-Schedule 75

Clean Technology Investment Tax Credit (CT ITC)

As Canada works toward its goal of net-zero emissions by 2050, the federal government has introduced tax incentives to encourage business investment in clean energy projects. Investment Tax Credits (ITCs), including the Clean Technology ITC and the Carbon Capture, Utilization, and Storage (CCUS) ITC, help offset a portion of the capital costs of acquiring eligible equipment for clean technology and CCUS projects.

The Clean Technology ITC (CT ITC) is a refundable tax credit for businesses that invest in eligible clean technology equipment in Canada between March 28, 2023, and December 31, 2034. You may claim up to 30% of the capital cost for eligible equipment. The property must be new, meaning it has not been used or acquired for any purpose before being acquired by the taxpayer.

Eligible Equipment Includes:

Systems that generate electricity from solar, wind, or water

Battery storage or pumped hydro systems that do not use fossil fuels

Solar heating, air-source heat pumps, and ground-source heat pumps

Non-road zero-emission vehicles and their charging or refueling equipment

Concentrated solar energy systems

Small modular nuclear reactors

Equipment that generates electricity or heat from geothermal energy (as long as it does not extract fossil fuels)