British Columbia clean buildings tax credit
British Columbia clean buildings tax credit
You can claim this refundable tax credit if you paid or incurred expenditures for qualifying retrofits that improve the energy efficiency of eligible commercial buildings and residential buildings with four or more units in British Columbia.
You must be a resident of British Columbia or have income allocated to British Columbia at the end of the year that you are claiming the credit for. The retrofit must be certified by the British Columbia Ministry of Finance before you may claim this credit.
Claim this credit on your income tax return for the year following the tax year that the retrofit is completed. You can claim the credit no later than 18 months after the end of the tax year that follows the tax year in which a retrofit was completed in.
The retrofit must be both completed before April 1, 2026, and an application for certification must be filed to the British Columbia Ministry of Finance before October 1, 2027, in order to be certified.
Qualifying expenditures are expenditures that are directly attributable to a qualifying retrofit. You must make or incur the expenditures under the terms of an agreement entered after February 22, 2022 and paid before April 1, 2025.
If you are a member of a partnership, you may calculate your share of the partnership's British Columbia clean buildings tax credit on Form T1356, British Columbia Clean Buildings Tax Credit. Use the information provided to you by your partnership to determine this amount.
The amounts shown on your certificate for the retrofit from the British Columbia Ministry of Finance are estimates only. You must calculate your actual tax credit by completing Form T1356.
Report the credit amount allocated to you by the partnership(s) of which you are a member on form T1356.
Bankruptcies in 2024
The British Columbia clean buildings tax credit cannot be claimed on your pre-bankruptcy return, nor on your in-bankruptcy return if it occurs within the same calendar year.
Qualifying expenditures paid or incurred after the date of bankruptcy can only be claimed for the taxation year following the taxation year in which the retrofit was completed.
How to claim this credit
Complete Form T1356, British Columbia Clean Buildings Tax Credit.
Qualifying expenditures must be reduced by any payments received or receivable by any person or partnership under a program designed to provide assistance with the cost of alteration or renovation of the building or the land it is on. You must also reduce your expenditures by forgivable loans designed for similar purpose if the loan, or a portion of it, has not been repaid under a legal obligation to do so. The available credit is 5% of the remaining amount for the qualifying retrofits.
Complete a separate Form T1356 for each qualifying retrofit you are claiming for the year. Claim the total amount of your credit on Form BC479.
Supporting documents
Keep your supporting documents in case you are asked to provide them later.
For more information about this credit, go to gov.bc.ca.
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