Small business venture capital tax credit

The small business venture capital tax credit is for individuals that invest in shares of a registered venture capital corporation or eligible business corporation.

The small business venture capital tax credit encourages investors to make equity capital investments in B.C. small businesses, in order to give small businesses access to early-stage venture capital to help them develop and grow.

You may claim a tax credit in a tax year equal to the lesser of:

• The amount of the tax credit certificate issued by the administrator of the venture capital corporation or eligible business corporation programs during the tax year or within the first 60 days of the following year, or
• $300,000 for investments made on or after March 4, 2025 ($120,000 for investments made before March 4, 2025)

Read more about the venture capital tax credit program as well as other investment capital programs.

Claiming the credit 

You can claim the credit on the British Columbia Credits form (BC479) when you file your T1 Income Tax Return. 

The small business venture capital tax credit for individuals is fully refundable, but must first be applied against total income tax payable. The tax credit is not refundable for corporations.

Unclaimed amounts of tax credit certificates may be carried forward for up to four years. 

Legislation

The following legislation applies to the small business venture capital tax credit:

• Income Tax Act (B.C.) Section 21
• Small Business Venture Capital Act 
• Small Business Venture Capital Regulation