Based on a series of recommendations received from the BC Mining Jobs Task Force, the government of British Columbia announced that it decided to make permanent the Mining Flow-Through Share or MFTS tax credit, and the Mining Exploration Tax Credit or METC.
In a press release, the provincial administration said that the incentives are aimed at supporting investment, exploration and the communities that depend on the mining sector.
“We are making these tax credits permanent, something the previous government would not do,” said John Horgan, Premier of the western Canadian province, in the media brief. “This is a major step to creating a stronger mining industry – one that creates jobs for British Columbians today, tomorrow and beyond.”
The Mining Exploration Tax Credit applies to eligible corporations and partnerships conducting grassroots mineral exploration in B.C. for all base and precious metals, coal and some industrial minerals. These corporations can claim expenses related to prospecting, carrying out geological surveys, drilling, trenching, digging test pits and preliminary sampling.
The Mining Flow-Through Share allows individuals who invest in flow-through shares to claim a non-refundable tax credit of 20% of their B.C. flow-through mining expenditures.
“We are pleased that the provincial government is living up to their commitment to support the mineral exploration and mining industry and its future in this province,” said the CEO of Association for Mineral Exploration.
According to Horgan, the decision to keep these tax credits was made after the government reviewed all actions contained in the report submitted by the Task Force in December 2018. The task force is a 12-member group that includes representatives from industry, First Nations, municipal and provincial government, an environmental non-governmental organization, labour, post-secondary/training and the financial sector.
Beyond the tax credits, Horgan announced that his office will also significantly increase its investment in the Ministry of Energy, Mines and Petroleum Resources to ensure resources are available to improve mining application processes and industry safety and oversight.
The provincial administration said it is also committing $1 million to work with industry and all levels of government to develop a mining innovation roadmap, and an additional $1 million for the continuation and expansion of the Regional Mining Alliance, which promotes mineral exploration, Indigenous partnerships and mining in B.C.
“We are pleased that the provincial government is living up to their commitment to support the mineral exploration and mining industry and its future in this province. Our goal as the Mining Jobs Task Force was to collaborate and come to consensus on actions that would be meaningful and value all perspectives as we move forward together,” Edie Thome, president and CEO of Association for Mineral Exploration, said in the media statement.
The post BC government makes mining tax credits permanent appeared first on MINING.com.