Form T1229 is used to claim the depletion allowance and to calculate your resource expenditure pools, exploration and development expense deduction, and the renounced expenses you received from owning flow-through shares that qualify for investment tax credits.
Based on the nature of your investment you’ll receive a T5, T101, or T5013 slip from the administrator of the venture. You’ll then use the information from one or more of these slips to complete your T1229 form.
Note: Depending on where you live, you might also be able to claim one of the following provincial credits:
- British Columbia Mining Flow-through Share Tax Credit
- British Columbia Mining Exploration Tax Credit
- Manitoba Mineral Exploration Tax Credit
- Ontario Focused Flow-through Share Tax Credit
- Saskatchewan Mineral Exploration Tax Credit
I’m a resident of Québec
As a resident of Québec you can claim a deduction for your exploration and development expenses on your tax return. Your expenses will be shown on one of the following slips:
H&R Block’s tax software will automatically calculate and claim your deduction amount based on the information you entered on the RL-11 or RL-15 page under the QUICK SLIP icon on the QUICK ENTRY tab.
Where do I claim this?
Follow these steps in H&R Block’s 2018 tax software :
- On the PREPARE tab, click the IN THIS SECTION icon.
- In the Investments box, click the Add This Topic button.
- Click the PENSION PLANS AND INVESTMENTS icon. You will find yourself here:
- Under the RESOURCE INCOME AND CREDITS heading, select the checkbox labelled Statement of exploration and development expenses and depletion allowance (T1229) then click Continue.
- When you arrive at the Statement of exploration and development expenses and depletion allowance page, enter your information into the tax software.