The 30 per cent NA!TC was introduced in Budget 2011. It
provides a credit to Manitoba corporations that make a minimum $50,000 donation
to an organization with charitable status for the purpose of starting a new
revenue-generating enterprise or social enterprise that hires people facing
barriers to employment. When the 30 per cent NA!TC is combined with existing
treatment of charitable donations by corporations, the total tax savings in 2012
for donating corporations will be 57 per cent of their contribution.
The tax credit is available to corporations in Manitoba
that participate with an eligible charity to establish a social
enterprise. Participating charities will be responsible for verifying the
operation of a social enterprise conforms with their charitable mandate.
To receive the tax credit, the social enterprise must
be newly created after April 12, 2011, be fully owned and controlled by a
charitable organization in Manitoba, and hire hard to employ Manitobans
facing multiple barriers to employment.
The corporation must have a permanent establishment and
commit in-kind support to assist with developing, managing and operating a
new social enterprise.
NA!TC receipts will be issued one year after the
charitable donation is made and after the agreed to in-kind support has
been provided. Eligible donations must be made after April 12, 2011, and
before 2020 to qualify for the tax credit.
The tax credit offsets Manitoba corporation income tax
The maximum NA!TC a corporation can earn in a given
year is $15,000, based on a minimum $50,000 donation made to a qualifying
registered charity in the previous year.