Tax Credits for Capital Regional et Cooperative Desjardins Shares

Residents of Quebec who invest in Capital régional et coopératif Desjardins (CRCD) shares may be entitled to a non-refundable tax credit designed to encourage investment in regional economic development and small to medium-sized enterprises in Quebec. If shares were purchased or redeemed from the Capital régional et coopératif Desjardins (CRCD) during 2024—or within the first 60 days of 2025—a Relevé 26 (RL-26) slip will be issued to document the transaction.

The credit aims to promote economic growth, job creation, and entrepreneurial development in Quebec’s regions by directing personal investment capital toward businesses that need financing. CRCD, a publicly traded investment fund managed by Desjardins Group, channels these investments into eligible Quebec enterprises.

Eligibility Requirements:

To qualify for the tax credit:

• The investor must be a resident of Quebec on December 31 of the taxation year.
• The shares must be acquired from CRCD and held for a minimum of seven years (subject to specific redemption conditions).
• The investment must be made within the approved annual subscription period announced by CRCD.

Calculation of the Credit:

For 2024, the tax credit rate is 30% of the eligible investment amount.

• The maximum annual investment eligible for the credit is $3,000.
• Therefore, the maximum annual tax credit is $900 (30% × $3,000).

This credit is non-refundable, meaning it can reduce Quebec income tax payable but cannot create a refund.

Example :

Alexandre, a Quebec resident, purchased $3,000 in CRCD shares in 2024. He meets all eligibility conditions.

Answer: Eligible investment: $3,000 × Credit rate: 30% = Tax credit $900.
Alexandre can claim this $900 non-refundable tax credit on his 2024 Quebec income tax return.

Important Considerations:

Investors who redeem CRCD shares early—before satisfying the required holding period—may be required to repay the tax credit claimed in previous years. The repayment ensures that the provincial incentive is only retained by investors who commit to holding the shares long enough to support the intended economic development goals.

The tax credit is provincial only — there is no equivalent federal tax credit.