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Canadian Government Tax Credit for Power Takeoff Equipment

• Your company may be eligible for a tax credit if you own power takeoff equipment. Power Takeoff (PTO) equipment refers to auxiliary equipment of licensed motor vehicle that uses fuel, which includes clear diesel fuel, gasoline and propane from the vehicle’s fuel tanks. Eligible power takeoff equipment for this Canadian government funding may include:

  • Cement mixers
  • Refrigeration units
  • Aerial buckets
  • Lifts and craned
  • Power vacuums
  • Pumps
  • Blowers

  Funding for Small Business Tax Credit Overview

  If you paid tax on fuel used in Ontario to operate this equipment, you may qualify for a refund. To be eligible for this tax credit, you must meet all these conditions:

  • Use the Power Takeoff equipment in Ontario.
  • The power from the Power Takeoff equipment does not propel the motor vehicle.
  • Equipment uses fuel from the licensed vehicle’s operating fuel tank.
  • Do not use the motor vehicle in any way to transport passengers.
  • Paid fuel tax to Ontario.
  • Do not use the motor vehicle in any way to transport passengers.

  It is important to note that you can still claim a refund if you are licensed under the International Fuel Tax Agreement.

  Companies can determine the fuel used to operate their PTO equipment using the readings from separate fuel metering devices that measures the fuel supplied to the PTO equipment or set allowances approved by the ministry for different kinds of PTO equipment based on information from equipment manufacturers.  Applicants must mail one completed Application for Refund Auxiliary Power Take Off Equipment to the ministry.

  Mentor Works: Canadian Government Funding Support

  Businesses interested in learning about Canadian government funding options available to you, please contact one of our Canadian Government Funding Experts. Additionally, please sign up for a 60 Minute Government Funding Workshop or follow us on Twitter and Facebook.

  
  
  August 7th, 2012 | Cynthia Woo | No Comments | Tags: Ontario Provincial Funding, Tax Credits