Currently, Alberta
provides four tax incentives for individuals with
resource income. Please
note that as announced by the Alberta government
on September 21, 2006, (Energy
Minister confirms end of Alberta Royalty Tax Credit
Program) Alberta will discontinue its ARTC
and RCIT programs for corporations, individuals
and trusts effective January 1, 2007. See Special
Notice Vol. 5 No. 21, Discontinuance of Alberta
Royalty Tax Credit (ARTC) and Royalty Credit for
Individuals and Trusts (RCIT) Programs.
Administered
by the Canada Revenue Agency (CRA)
- The
Royalty Tax Rebate is administered
by the CRA and claimed by filing CRA Form T79
with your personal income tax return. When crown
charges exceed the resource allowance and the
excess is not deductible when computing net income,
the royalty tax rebate returns the Alberta tax
paid on the excess amount.
Administered
by Tax and Revenue Administration (TRA), Alberta
Finance
Rebates under the following
programs must be claimed by filing forms AT245 and/or
AT60 with TRA. Please note:
an individual is entitled to the refunds only if
this application is filed and received by TRA within
three years from the end of the taxation
year.
- The Royalty
Credit for Individuals and Trusts
returns a variable portion (currently 25%) of
the Alberta Crown royalties paid. Form AT60 is
used to calculate amounts payable to you under
this program.
- The Alberta government
did not parallel all of the 2003 federal changes
to the taxation of resource income. This necessitated
the introduction of two tax refunds
to offset the phase-out of the resource allowance
regime and the phase-in of the federal tax on
benefits under the Royalty Credit for Individuals
and Trusts program:
See also: Alberta
Royalty Tax Credit Quarterly Rates. For
more information on Alberta Royalty Programs for
Individuals and Trusts, please contact
Tax and Revenue Administration, Alberta Finance.
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