TaxTron T2 2026.1 – Release Notes
June 21, 2026
Whats new in T2 2026.1
T2 2026.1 introduces significant updates affecting federal and provincial corporate tax filings. These changes impact capital cost allowance (CCA), SR&ED claims, investment tax credits, and various provincial schedules. Below is a comprehensive summary of all key updates.
- Supports corporate tax returns for taxation years:
- Beginning on or after Jan. 1, 2024
- Ending on or before Oct. 31, 2026
Major Federal Changes
- Schedule 8 – Capital Cost Allowance (CCA)
- New rules for:
- Reaccelerated Investment Incentive Property (RIIP)
- Accelerated Investment Incentive Property (AIIP)
- Immediate expensing columns removed
- New RIIP-related columns added
- Passenger vehicle Class 10.1 limit increased to:
- $39,000 for acquisitions after Dec. 31, 2025
- New rules for:
- Schedule 8 WORKCHART
- Updated for RIIP calculations
- New fields for:
- RIIP/ZEV additions and dispositions
- UCC adjustments
- "Is property a RIIP?" question added
- Alberta calculations aligned with federal changes
- Schedule 3
- New dividend deduction column under 113(1)(c)
- Schedule 5
- New Ontario manufacturing and railway credits
- Schedule 75/76/78
- Partnership allocation sections added
SR&ED Changes (Major)
Effective for expenditures after Dec. 15, 2024:
- Capital expenditures for depreciable property are now eligible for SR&ED ITC
- Enhanced 35% ITC available to:
- CCPCs
- Eligible Canadian Public Corporations (ECPCs)
- Expenditure limit increased to:
- $6 million
- Revenue-based phase-out:
- Begins at $15 million
- Eliminated at $75 million
- Schedule 31 – Investment Tax Credit
- Added:
- ECPC rules
- Revenue-based expenditure limit calculations
- Clean Electricity ITC
- SR&ED capital expenditure reporting
- New Parts:
- Part 10A (pre-Dec. 16, 2024)
- Part 10B (post-Dec. 15, 2024)
- Added:
- T661 – SR&ED Claim
- Major updates for SR&ED capital expenditures
- Added:
- Capital expenditure reporting
- Lease equipment costs
- Shared-use-equipment reporting
- Largest capital expenditure disclosure
- CRDC field of research code
- Pre-approval fields
- T1145 & T1146
- Separate reporting for:
- Current expenditures
- Capital expenditures
- Separate reporting for:
Deleted Forms
- Federal
- Schedule 65 – Air Quality Improvement Tax Credit
Ontario Updates
- Schedule 572 – Ontario Made Manufacturing Investment Tax Credit
- Refundable credit rate increased:
- 10% → 15% after May 14, 2025
- New non-refundable credit for non-CCPCs
- 10-year carryforward available
- Credit repayment rules added
- Credit expires after 2029
- Refundable credit rate increased:
- Schedule 570
- Removed temporary enhanced regional investment credit provisions
- Ontario SR&ED Credits
- Capital expenditures now eligible:
- Schedule 508
- Schedule 566
- Capital expenditures now eligible:
British Columbia
- BC SR&ED credit aligned with federal Bill C-15:
- ECPC refundable credit
- Capital expenditures eligible
Alberta
- Alberta aligns with federal SR&ED and CCA changes
- New RIFE reporting sections added
- Capital expenditures added to:
- Schedule 16
- Schedule 29