Nunavut business training tax credit

Effective April 1, 2009, corporations that have a permanent establishment in Nunavut and provide qualified training to eligible employees who successfully complete the training in the year can claim this refundable tax credit, as follows:

• 30% of the business training expenses for the employee; or
• 50% of the business training expenses if the training is for a beneficiary of the Nunavut Land Claims Agreement.

The maximum tax credit for a 12-month period, from April 1 to March 31 is $10,000 per employer, if the corporation qualifies for the small business deduction under the federal Income Tax Act. The maximum credit is $50,000, if the corporation does not qualify for the small business deduction.

The credit does not apply to business training provided or completed after March 31, 2014.

The Nunavut Department of Finance will issue one or more business training tax credit certificates to eligible employers. The maximum tax credit you can claim for the tax year is the total of the amounts of the business training tax credit indicated on the certificates for that year.

Claiming the credit

To claim the credit, file a completed Schedule 490, Nunavut Business Training Tax Credit. See the schedule for more details.

On line 740 of Schedule 5, Tax Calculation Supplementary - Corporations, enter the amount of the credit you are claiming.

Forms and publications

• Schedule 490, Nunavut Business Training Tax Credit
• Schedule 5, Tax Calculation Supplementary - Corporations

Government partners

• Nunavut (territorial site)