Canada Carbon Rebate for Small Businesses
Disclaimer
We do not guarantee the accuracy of this copy of the CRA website.
Scraped Page Content
Canada Carbon Rebate for Small Businesses
You may be looking for: Canada Carbon Rebate for individuals
Update on the taxability of the Canada Carbon Rebate for Small Businesses
Businesses can choose not to include the rebate in taxable income when filing their T2 Corporation Income Tax Return for the year in which it was received. However, they could be reassessed, with interest, in the event that the legislation does not receive Royal Assent. Read more: Tax treatment of the rebate.
The Canada Carbon Rebate for Small Businesses is a refundable tax credit announced in Budget 2024 to return a portion of the federal fuel charge proceeds collected between 2019-2020 and 2024-2025 directly to eligible Canadian-controlled private corporations (CCPCs).
You do not need to apply for this rebate. If you are eligible, you will automatically receive the payment.
Removal of fuel charge
On March 15, 2025, the Government of Canada made regulations that cease the application of the federal fuel charge, thereby eliminating the Canada Carbon Rebate for Small Businesses. The return of proceeds for the 2024-2025 fuel charge year will be the final payment.
Sections
- Who is eligible
- Qualifying for the rebate
- How much you may get
- Estimate your amount and learn how the rebate is calculated
- When and how you will get the rebate
- Timeline and process for receiving your payment, and possible delays
- Tax treatment of the rebate
- Find out whether the rebate is taxable and what to expect if you've already included it in your income
Related information
Page details
2025-11-14