Enriched Investment Tax Credit

The Share Purchase Tax Credit Program offers a tax rebate on your Prince Edward Island personal income tax, provided as 35 per cent of the value of an eligible investment in an eligible PEI corporation. The maximum credit that an individual may claim in any taxation year is $35,000.

Innovation PEI

Overview of the Enriched Investment Tax Credit program:

The Enriched Investment Tax Credit (EITC) is intended to advance the competitiveness of Prince Edward Island’s manufacturing industry by encouraging investment for modernization and productivity improvement. The Prince Edward Island Income Tax Act provided for a 10% Investment Tax Credit on qualified property (as defined below) for corporations involved in manufacturing and processing activities. The Enriched Investment Tax Credit provides a tax rebate for an additional 25% tax credit for manufacturing and processing companies that invest in qualified property to implement high-productivity applications with a strong export focus.

Benefits of the Enriched Investment Tax Credit program:

Tax rebate on your Prince Edward Island personal income tax, provided as 35 per cent of the value of an eligible investment in an eligible PEI corporation, subject to a limit of $35,000 in a tax year.

Eligibility criteria of the Enriched Investment Tax Credit program:

To be an eligible applicant, a business must be located in Prince Edward Island and:
Be registered to do business and actively operating in Prince Edward Island;
Manufactures, processes, or develops goods or services primarily for export;
Operates within one of these strategic sectors:
Bioscience
Aerospace and defense
Advanced manufacturing and processing
Renewable energy and clean technology
Information and communications technology
Creative and cultural industries
First-of-its-kind exportable goods or services in other sectors may be considered.
Conditions when evaluating an applicants request for assistance will include:
Potential for long-term viability, including qualifications and track record of senior management;
Cost benefit to the Province of Prince Edward Island;
Employment creation;
Export sales and import substitution;
Environmental impact;
Availability of program funds; and
Level of assistance from other government programs offered or available.