Manitoba Agriculture, Food & Rural Business Credits & Incentives (2025 Guide)

Key Manitoba Agriculture & Rural Business Credits

• Food Development Centre Tax Credit: For corporations investing in new food processing, product development, or innovation at Manitoba’s Food Development Centre. Provides a provincial tax credit for eligible project expenditures.
  Eligibility: Manitoba-registered corporations investing in eligible projects at the Centre.
  How to Claim: Apply directly to the Food Development Centre with your project plan. Upon approval and investment, claim the credit using the MB479 schedule on your T2 return.
  Example: If your company invests $100,000 in a pilot food processing line, and the tax credit is 10%, you can claim $10,000 as a credit on your MB return.
• Farm Machinery & Equipment Tax Rebates: PST rebates and accelerated Capital Cost Allowance (CCA) for purchasing or upgrading qualifying farm equipment, implements, and vehicles used in Manitoba agriculture.
  Eligibility: Manitoba farms, incorporated or sole proprietors, purchasing eligible equipment.
  How to Claim: PST rebates are claimed by submitting invoices and rebate forms to Manitoba Finance. Accelerated CCA is claimed on your T2 or T1 return using the appropriate class.
  Example: You buy a $200,000 combine harvester. Submit the PST rebate application for the PST paid ($14,000 at 7%). Claim CCA Class 10 for accelerated depreciation.
• Manitoba Ag Action Grants & Cost-Share Programs: Non-repayable grants for agri-processing, environmental practices, market development, animal welfare, and business expansion (administered by Manitoba Agriculture).
  Eligibility: Manitoba agri-businesses, processors, and value-added farm enterprises.
  How to Claim: Apply via the Manitoba Ag Action portal before incurring costs. Projects must meet program criteria, and you will file proof of expenses for reimbursement.
  Example: You apply for a $25,000 cost-share grant for a new grain cleaning system. After approval, you incur $50,000 in costs and submit receipts to receive your grant.
• Rural Business & Community Enterprise Credits: Provincial tax incentives for capital investment in rural or community-owned businesses, including select property tax abatements and grants.
  Eligibility: Rural Manitoba corporations, ag co-ops, and community-owned businesses.
  How to Claim: Apply with your municipality or Manitoba Economic Development. File MB428/MB479 with your T2 for tax credits.
  Example: A rural grocery co-op invests $200,000 in renovations and receives a 20% property tax abatement for 3 years, saving $12,000 annually.
• Green & Clean Energy Credits for Agri-Business: Provincial/federal grants and credits for renewable energy, energy efficiency retrofits, solar/wind projects, and clean-tech equipment deployed on Manitoba farms or food facilities.
  Eligibility: Farms and agri-processors investing in eligible green technology.
  How to Claim: Apply for grants through Manitoba Agriculture or Efficiency Manitoba. Federal credits are claimed on your T2/T1 using CCA Classes 43.1/43.2.
  Example: Installing $50,000 of solar panels, you claim a 30% federal clean tech credit ($15,000) plus a provincial grant of $5,000.
• Federal-Provincial Programs: Manitoba businesses can stack provincial credits with federal AgriInvest, AgriStability, AgriInsurance, and Sustainable Canadian Agricultural Partnership (CAP) grants.
  How to Combine: Apply for both provincial and federal programs. File separate claims as required. Keep detailed records to avoid double-claiming and maximize total benefits.

Eligibility varies by program, but most are open to Manitoba-registered corporations, family farms, agricultural cooperatives, and rural small businesses. Detailed application requirements and deadlines are provided on the official program pages (see links below).