T1299: Manitoba Book Publishing Tax Credit (Individuals)

Important: The Manitoba Book Publishing Tax Credit has been extended to December 31, 2019.

The government of Manitoba allows publishers based in the province to claim the Manitoba book publishing tax credit for individuals; a refundable credit for 40% of eligible labour costs. The maximum tax credit claimable by a publisher is $100,000 per year.

You can claim this tax credit if you’ve published a book this year and:

  • You were a resident of Manitoba at the end of the year
  • Your main business is publishing books
  • You published at least two eligible books within two years, ending at the end of the year
  • At least 25% of the salaries/wages you paid during the year must have been to employees who are residents of Manitoba

The labour costs you can have partially refunded might include money you spent on:

  • Editing, design, research or project management, creating artwork, or developing a prototype of the book
  • Salaries or wages for your employees who were residents of Manitoba on December 31, 2018 (this amount can’t include any part of a salary or wage that’s determined by profits/revenues)
  • Contracted Manitoba labour costs or services

You can’t claim costs such as:

  • Marketing
  • Promotion
  • Legal and accounting costs

To claim an additional credit of 15% of the eligible printing costs, the eligible books you publish must be printed on paper that’s at least 30% recycled content. For this additional tax credit, eligible printing costs must have been paid in the year of the publication of the eligible book or within one year of the book publication.

What is an eligible book?

An eligible book is a new (at least 90% of the content is new material), non-periodical publication that is:

  • Published before 2020
  • Printed as per prescribed number of copies based on the book format
  • Categorized as fiction, non-fiction, poetry, biography or a children’s book, and is assigned an International Standard Book Number (ISBN)
  • Authored entirely or almost entirely by a Canadian (citizen or a permanent resident), who has been paid a fee or royalty on the sales of the book
  • Illustrated entirely or almost entirely (in case of a children’s book) by a Canadian (citizen or a permanent resident), who has been paid a fee or royalty on the sales of the book
  • At least 48 pages long (if not a children’s book) or, in the case of an electronic book, it is the equivalent of at least 48 pages long as determined in accordance with the regulations
  • Not a directory, agenda, catalogue, calendar, map or collection of maps, loose-leaf publication, colouring book, sticker book or other activity book or book of games, promotional or advertising material (other than the publisher’s own promotional material), or a similar product
  • Not material that is hate propaganda or deemed to be obscene or an offence under the Criminal Code (Canada)

Where do I claim this?

Follow these steps in H&R Block's 2018 tax software:

Before you begin, make sure that you told us that you lived in Manitoba on December 31, 2018.

  1. On the PREPARE tab, click the IN THIS SECTION icon.

  2. In the Self-employment income and expenses box, click the Add This Topic button.

  3. Click the EMPLOYMENT icon. You’ll find yourself here:

    DIY18_EMPLOYMENT_EN.png

  4. Under the CREDITS AND REBATES heading, select the checkbox labelled Manitoba book publishing tax credit (individuals), then click Continue.

  5. When you arrive at the page for the Manitoba book publishing tax credit (individuals), enter your information into the tax software.
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