British Columbia Employee Investment Tax Credit

What’s in this article?

 

What is this?

The BC Employee Investment Tax Credit combines either the employee share ownership plan tax credit and/or the employee venture capital tax credit. It is a non-refundable tax credit which helps to reduce provincial tax payable.

If you purchased shares from a registered British Columbia employee share ownership plan (ESOP) at any time during the tax year or in the first 60 days of the following year, you will be issued a Certificate ESOP 20 confirming the amount of shares purchased as well as the credit amount you are entitled to claim.

If you acquired shares from a registered British Columbia Employee Venture Capital Corporation at any time during the tax year or in the first 60 days of the following year, you will be issued a Certificate EVCC 30 confirming the amount of shares purchased as well as the credit amount you are entitled to claim. If you receive an EVCC 30, you will also be eligible to claim a federal tax credit. See the General Income Tax and Benefit Guide for more details.

The maximum ESOP and EVCC tax credits you can claim on your return is $2,000; any unused amount cannot be carried forward to future years.

 

Am I eligible?

You are eligible to claim a combined employee share ownership plan (ESOP) and employee venture capital corporation (EVCC) tax credit for a tax year equal to the lesser of:

  • the amount of the tax credit certificate issued during the tax year or within the first 60 days of the following year, or
  • $2,000

 

Where do I claim this?

Follow these steps in H&R Block’s tax software to file your 2015 taxes:

1. Click the PREPARE tab.
2. Click the YOUR YEAR IN REVIEW icon. You will find yourself here:


3. Select the checkbox related to INVESTMENTS.
4. Scroll to the bottom of the page and click Continue.
5. Click the RRSPS & INVESTMENTS icon. You will find yourself here:


6. Under the INVESTMENT INCOME (OR LOSS) heading, click the checkbox related to Employee Share Ownership Plan Shares (ESOP) and/or Employee Venture Capital Corporation Shares (EVCC).

Scroll to the bottom of the page and click Continue.

When you arrive at the page for your Certificate ESOP 20 and/or your Certificate EVCC 30, enter your information into the software.

 

Where can I learn more?