Ontario Made Manufacturing Investment Tax Credit

Capital-intensive manufacturers in Ontario often face tough decisions when it comes to upgrading facilities or investing in new production equipment. The Ontario Made Manufacturing Investment Tax Credit is designed to ease that burden by reducing corporate income tax costs tied to major investments in manufacturing and processing operations. Delivered by the Government of Ontario, this tax credit supports spending on buildings, machinery, and equipment used in the province, helping manufacturers modernize operations while keeping more capital available for growth.

Recent enhancements have made the program especially attractive. The refundable version of the credit offers meaningful tax relief for Canadian-controlled private corporations, while an expanded, non-refundable option now extends similar support to larger or foreign-owned manufacturers operating in Ontario. Together, these credits are intended to strengthen competitiveness, encourage innovation, and support job creation across a wide range of manufacturing activities. Depending on the scale and timing of an investment, the tax benefit can reach into the millions annually, making it particularly relevant for businesses planning significant facility upgrades or equipment purchases.

Because the credit is tied to when assets become available for use and includes temporary enhancements, timing and structure matter. Manufacturers considering near-term investments may want to take a closer look at how this opportunity could fit into their tax and capital planning, and explore the detailed rules to see how much support may be available.