British Columbia credit union tax reduction

The British Columbia credit union tax rules allow credit unions to use a lower tax rate than the income tax rate otherwise applicable. It is the same rate paid by small business corporations that claim the British Columbia small business deduction.

To be eligible to claim the lower tax rate, the credit union must meet all of the following conditions:

• have been a credit union throughout the tax year
• have had a permanent establishment in British Columbia at any time in the tax year
• have British Columbia taxable income in the year

Claiming the lower rate

• File Schedule 17, Credit Union Deductions, with your return.

Forms and publications

• Schedule 17, Credit Union Deductions

Government partners

• British Columbia (provincial site)