In this project, a 3-phase inverter is designed to provide independent provision of active, reactive, and harmonic currents to the electrical grid. This multifunctional inverter, thus, is able to provide active filtering of individual harmonics (up to the 17th harmonic) while injecting active power to the grid. The multifunctional inverter is controlled by a digital signal controller that executes in real time the measuring of 6 signals, the active and reactive power control, the individual calculation and control of each harmonic on a 100 microsecond time interval. The project attempts to maximize the functionality of the inverter by implementing an algorithm that continuously selects the maximum filtering capabilities of the inverter based on its power rating and the incoming power from the renewable source.