T1256-1: Manitoba Small Business Venture Capital Tax Credit (Individuals)

If you invested in emerging Manitoba businesses this year, and you received a T2SBVCTC (MAN) slip, you can claim the Manitoba small business venture capital tax credit (Individuals) (SBVCTC). The SBVCTC is a non-refundable tax credit and can be claimed if you bought equity in an emerging enterprise that requires more capital than community ownership can provide.

As an eligible investor, you can earn a 45% non-refundable tax credit against your Manitoba tax payable but to qualify, you must have invested at least $20,000 during the approval period.

The credits you’ve earned for the year are shown on your T2SBVCTC slip. The maximum tax credit that you can earn is $202,500 but the maximum amount you can claim in a year is only $67,500.

If you don’t use all your credit amount in the year, you can carry forward your unused credits for up to 10 years, or back three years. Keep in mind that the total credit you carry back to a previous year, and any credit you’ve already claimed in the year, cannot be more than:

  • $45,000 for 2013 and prior years, or
  • $67,500 for 2014 and future years

Tax tip: Refer to your most recent notice of assessment or reassessment for your unused credit amounts.

Follow these steps in H&R Block’s 2023 tax software:

Before you begin, make sure that you told us that you lived in Manitoba on December 31, 2023.

  1. On the left navigation menu, under the Credits & deductions tab, click Tax Topics.

  2. Select the Investments income & expenses checkbox.

  3. At the bottom of the page, click Add selected topics to my return.

  1. Under the RESOURCE INCOME AND CREDITS heading, select the checkbox labelled Manitoba small business venture capital tax credit for individuals (T1256-1).

  2. When you arrive at the Manitoba small business venture capital tax credit (individuals) page, enter your information into the tax software.