Extension of the Tax Credit for Interest on a Loan Granted by a Seller-Lender and Guaranteed by La Financière agricole du Québec
The Ministère des Finances has announced that the tax credit for interest on a loan granted by a seller-lender and guaranteed by La Financière agricole du Québec will be extended for five years.
An eligible taxpayer may be entitled to the tax credit if it was granted a loan further to an agreement entered into after December 2, 2014, but before January 1, 2025.
The tax credit is equal to 40% of the interest paid on the loan that is attributable to the portion of the eligibility period included in the taxpayer's taxation year.
The eligibility period begins on either January 1, 2015, or the day on which the loan agreement was entered into, whichever is later. The end date of the period is 10 years after the day on which the loan agreement was entered into.
A taxpayer that is a member of a partnership can also claim the tax credit.
For more information, see information bulletin 2019-11 published by the Ministère des Finances.