This paper presents a grid connected photovoltaic system, which acts as both power generator and active power filter (APF), based on Flying Capacitor Multicell (FCM) converter. Increase in the number of output voltage levels, natural self-balancing of flying capacitors and dc link voltage and lower power rating of components are the main futures of FCM converter compared with conventional multilevel converters. Furthermore, in this paper a new control method based on instantaneous reactive power (IRP) theory and Predictive Current Control using modified phase shifted sinusoidal PWM modulation method has been presented and applied to proposed APF. Also, using a simple method for maximum power point tracking (MPPT), maximum available power of PV array has been injected to system. Finally, the control strategy and the whole system is simulated by PSCAD/EMTDC software and results are presented to validate the performance and advantages of proposed system as well as its control strategy.