T1231: British Columbia mining flow-through share tax credit
You can claim the British Columbia mining flow-through share (B.C. MFTS) tax credit if you invested in flow-through shares offered by a company conducting mining exploration in British Columbia. This non-refundable tax credit equals 20% of your B.C. flow-through mining expenses. These expenses are specific exploration expenses that were transferred to you by the company, in a given year, under a flow-through shares agreement entered into after July 30, 2001.
To claim the B.C. MFTS tax credit, complete the T1231 form. You must also have received one of the following slips:
- T101: Statement of resource expenses slip, with qualifying expenses shown in box 141 or
- T5013: Statement of partnership income slip, with qualifying expenses shown in box 197
Since the B.C. MFTS tax credit is non-refundable, your claim amount must be equal to or less than your British Columbia tax payable. That said, you can carry forward any unused credit amount for 10 years or carry it back for 3 years.
Note: You must claim your B.C. MFTS tax credit within 12 months after your filing due date for the tax year for which you received a T101 or T5013.
Your total available credit amount for the year can be calculated as follows:
- Add the amounts in box 141 of your T101 slip and box 197 of your T5013 slip.
- Multiply the totaled amount by 20%. This is your current-year credit.
- To the current-year credit amount, add the available carryforward amount for your B.C. MFTS from your 2020 notice of assessment or reassessment.
This calculated amount is your total available credit amount for 2021. The credit amount you can claim on your T1231 can’t be more than this.
Follow these steps in H&R Block’s 2021 tax software:
Before you begin, ensure that you've told us that you lived in British Columbia on December 31, 2021.
- On the PREPARE tab, click the IN THIS SECTION icon.
- In the Investments box, click the Add This Topic button.
- Click the PENSION PLANS AND INVESTMENTS icon. You’ll find yourself here:
- Under the RESOURCE INCOME AND CREDITS heading, select the checkbox labelled British Columbia mining flow-through share tax credit (T1231).
- When you arrive at the page for the British Columbia mining flow-through share tax credit, enter your information into the tax software.