This is a refundable tax credit for interest paid on a loan granted by a seller after December 2, 2014 and guaranteed by La Financière agricole du Québec. The credit is equal to either 40% of the interest for 2016 that you paid, or 40% of your share of such interest paid by the partnership of which you’re a member.
You can claim this tax credit if you:
- Operated a business (as a sole-proprietor or as member of a partnership) in Québec during 2016
- Were granted a loan under an agreement entered into after December 2, 2014, and before January 1, 2020, through the Program for farm financing under the Act respecting La Financière Agricole du Québec
- Aren’t exempt from income tax
- Aren’t a Crown corporation or a subsidiary controlled by it and
- Aren’t a trust of which one of the capital or income beneficiaries is:
- a tax-exempt person or
- a Crown corporation or a subsidiary controlled it
The tax credit is calculated on form TP-1029.8.36.VP-V: Tax Credit for Interest on a Loan Granted by a Seller-Lender and Guaranteed by La Financière agricole du Québec.
Where do I claim this?
Follow these steps in H&R Block's tax software to file your 2016 taxes:
Before you begin, make sure you tell us you lived in QUÉBEC on December 31, 2016.
- Under the PREPARE tab, click the OTHER icon. You'll find yourself here:
- Under the OTHER DEDUCTIONS section, select Other Québec tax credits.
- Scroll to the bottom of the page and click Continue.
- When you arrive at the page for Other Québec tax credits, enter your information into the tax software.
Where can I learn more?
- TP-1029.8.36.VP-V: Tax Credit for Interest on a Loan Granted by a Seller-Lender and Guaranteed by La Financière agricole du Québec (Revenu Québec website)