Newfoundland and Labrador resort property investment tax credit

You can claim this credit if you make an investment in a qualifying resort development property in Newfoundland and Labrador within five years after the unit in the qualifying resort development property is first made available for sale. The corporation must not sell or transfer ownership in the unit for at least five years from the date of purchase. The investment must be made at arm's length.

The credit is equal to 45% of the amount invested to a lifetime maximum credit of $150,000. The maximum credit you can claim in the tax year is $50,000, including any amounts carried back or carried forward.

This credit must be applied against tax otherwise payable. You can carry forward unused credits to the seven following tax years or back to the three previous tax years.

Claiming the credit

File a completed Schedule 304, Newfoundland and Labrador Resort Property Investment Tax Credit. See the schedule for more details.

On line 507 of Schedule 5, Tax Calculation Supplementary – Corporations, enter the amount of the credit you are claiming.

Supporting documents – The application for the credit must be made within 90 days after the sale of the unit. The province of Newfoundland and Labrador will issue Form NLRPITC–1, Newfoundland and Labrador Resort Property Investment Tax Credit, for qualifying investments. File this form with your T2 return.

Forms and publications

• Schedule 304, Newfoundland and Labrador Resort Property Investment Tax Credit
• Schedule 5, Tax Calculation Supplementary – Corporations

Government partners

• Newfoundland and Labrador (provincial site)

Date modified:

2017-04-20