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Investor Presentaiton

In order to be eligible to register under the AITC as a VCC, a business must: • be registered under the Business Corporations Act of Alberta; have equity capital of at least $25,000 at the time of registration; • not have previously carried on business (cannot be a pre-existing VCC); • have a share structure consisting of only common shares that have no special rights or restrictions and/or common shares that have rights or restrictions relating only to the redemption of the shares by the corporation; and have articles of incorporation that restrict its business to assisting the development of eligible small businesses, as directed in the Regulation. Eligible Business Activities EBCs and businesses receiving investments from VCCs must be engaged in the business activities outlined below to be eligible for the program: 1. Development and operation of a destination tourist resort, attraction or a tourist service The purpose is: • to incent Alberta investors to invest in tourism projects that will create jobs and support diversification; and to incent Alberta investors to develop new tourism products in targeted geographic areas of the province (outside a national park of Canada). Some examples of tourism related businesses that can be considered eligible for the AITC program are destination resorts, tourist services and attractions. To qualify under this activity, a business must demonstrate that it: i. iii. Resorts earns or will earn 50 per cent or more of its gross revenues from tourists. A "tourist" is an individual who resides more than 40 kilometres from the destination resort or attraction. is located outside of the Canadian National Parks, and operates or will operate concurrently for at least 120 consecutive days a year. This industry is comprised of establishments primarily engaged in providing short-term lodging. Resorts are designed to accommodate vacationers and provide no fewer than four full-service suites and guest rooms. Establishments of this type often provide access to conference facilities. 8 Alberta Investor Tax Credit Program | January 2019
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