Tax Credit
Tax Credit for the Transformation of a ship
A society which, in the taxation year, has an establishment in Québec and carries on a ship conversion business can, under certain conditions, claim a refundable tax credit for the transformation of a vessel for which a Certificate of eligibility has been issued by the Minister of Finance and Economy or the Minister of Economy, Innovation and Exports.
- 4.5/5.0
- Québec. Revenu Québec
- All levels
- Last updated 3 years ago
- English
Description
A society which, in the taxation year, has an establishment in Québec and carries on a ship conversion business can, under certain conditions, claim a refundable tax credit for the transformation of a vessel for which a Certificate of eligibility has been issued by the Minister of Finance and Economy or the Minister of Economy, Innovation and Exports.- The tax credit rate applicable to transformation expenditures are: 37.5% for the prototype vessel; 33.75% for the first additional ship; 30% for the second additional ship; 26.25% for the third additional ship.
- In addition, limitations related to transformation cost at the end of the tax year are: 18.75% for the prototype vessel; 16.875% for the first additional ship; 15% for the second additional ship; 13.125% for third additional ship.