If you’re a farmer based in Manitoba who paid for equipment that significantly prevents, reduces, or eliminates odours from organic waste, you might be able to claim the refundable Manitoba Odour-Control Tax Credit (T4164).
Expenses that qualify for this tax credit include cost of depreciable capital property such as straw cannons, sewage lagoon covers and seals, biofiltering units, storage tanks or containers, spraying equipment for aerobic or anaerobic treatment of organic waste, soil injectors attached to manure spreaders
You can earn a tax credit of 10% for eligible expenses paid in the year and, for any equipment bought after December 31, 2012, this credit is fully refundable. Prior to 2013, the credit had to be first used to reduce your Manitoba tax payable and then any remaining amount could be refunded.
If you’d like, you can carry forward unused credit amounts 10 years or carry them back 3 years. Any unused credit amounts that you didn’t claim in a previous year and carried forward are now also fully refundable. You can find your unused credit amounts on your latest notice of assessment or reassessment.
Remember, you have to reduce your eligible expenses by any government assistance you received or expect to receive for these expenses.
Where do I claim this?
Follow these steps in H&R Block’s tax software to file your 2016 taxes:
Important: Before you begin, ensure that you told us that you lived in MANITOBA on December 31, 2016.
- On the PREPARE tab, click the LET’S TALK ABOUT 2016 icon.
- Select the checkbox labelled I was employed or I worked for myself then select the province or territory of self-employment.
- Click the EMPLOYMENT icon. You'll find yourself here:
- Under the CREDITS AND REBATES heading, select the checkbox labelled Manitoba odour-control tax credit for individuals (T4164), then click Continue.
- When you arrive at the page for your Manitoba odour-control tax credit for individuals, enter your information into the tax software.
