Community Enterprise Development Tax Credit Program

Description

The Community Enterprise Development Tax Credit (CEDTC) provides a refundable Manitoba tax credit of up to 45% to individuals and corporations who acquire equity capital in community-based enterprises in Manitoba. 

• To assist community-based enterprise development projects in raising local equity capital.
• There is no minimum investment required for companies or individual investors, but each investor is limited to 10% or less of the total tax credit issuance. 
• Corporations must be pre-approved to issue shares and must demonstrate that they are: 
  • A Cooperative incorporated under The Cooperatives Act or a taxable Canadian Corporation incorporated under the Corporations Act;
  • Assets are used in active business; 
  • Net and gross assets are less than $10 million and $25 million, respectively; and 
  • Less than 200 full-time equivalent employees, at least 25% of which reside in Manitoba;
    • Approved corporations have a $3 million lifetime limit on shares issued. Investors can invest a maximum of $60,000 per year.