Buying an electric loader in Canada doesn't mean paying full price. Between federal tax credits, provincial programs, and accelerated depreciation, it's realistic to reduce the net cost of your equipment by 30–50%. Here's every program available in 2026.
Federal Programs
Clean Technology Investment Tax Credit (CT ITC) — 30%
The flagship program. A 30% refundable tax credit on capital costs of non-road zero-emission vehicles, including construction equipment. On a Nesher L1400 at $35,000, that's a $10,500 credit.
Available through December 31, 2033 (drops to 15% in 2034). Must be a taxable Canadian corporation.
Class 56 CCA — Accelerated Depreciation
Zero-emission off-road construction equipment falls under Class 56 of the Capital Cost Allowance. In 2026–2027, you can write off 55% in the first year (it was 75% in 2024–2025). This significantly reduces your taxable income in the year of purchase.
SR&ED — For R&D
If you're developing or improving electric equipment, the Scientific Research and Experimental Development program offers an enhanced credit of 35% (increased in Budget 2025, capped at $6M). Capital expenditures for R&D equipment are now eligible for the first time since 2014.
NRC IRAP
The National Research Council's Industrial Research Assistance Program provides grants and advisory services for technology-driven Canadian SMEs (≤500 employees). Relevant if you're developing clean technologies.
Quebec Programs
Investissement Québec — ESSOR Program
Investissement Québec offers a mix of grants and loans covering up to 50% of project costs. Quebec's $10.2 billion Green Economy Plan 2030 prioritizes electrification investments.
Quebec Budget 2025 — Immediate Expensing
The 2025 budget allows 100% first-year expensing for manufacturing machinery, clean energy equipment, and zero-emission vehicles. Combined with the federal CT ITC, the total benefit can exceed 50%.
Ontario Programs
Ontario Made Manufacturing Investment Tax Credit (OMMITC)
A 15% tax credit (temporarily increased from 10%) on eligible capital expenditures for manufacturing machinery and equipment in Ontario. Effective May 2025 through 2029.
Stacking Programs Together
The best strategy is combining federal and provincial programs. For example, in Quebec:
| Program | Savings on an L1400 ($35,000) |
|---|---|
| Clean Technology ITC (30%) | $10,500 |
| Class 56 CCA (55% Year 1) | ~$5,000 in taxes |
| Investissement Québec (varies) | Varies |
| Estimated Net Cost | ~$19,500 or less |
Consult a tax professional specializing in clean technology to optimize your incentive stack.
Next Steps
Browse our Nesher electric loaders and contact us for a quote. We can help you identify which programs apply to your situation.