NSBI’s payroll rebate is a performance-based incentive offered to eligible companies expanding in or locating to Nova Scotia.
- The rebate is a return on your eligible gross payroll.
- The rebate is generally paid out annually over a term not exceeding five years.
- To receive the rebate, your company must create or retain a targeted number of jobs, at a minimum determined salary, within a set timeframe.
- If you achieve the specific targets set out in the payroll rebate agreement, funds will be rebated annually to your company.
Learn more about How Payroll Rebates Work
R&D Tax Credits
- The Scientific Research & Experimental Development (SR&ED) program promotes and supports the development of unique and advanced skills, knowledge and technological capabilities that will enable your business to better compete in domestic and international markets.
- Depending on the size and nature of your business, federal SR&ED tax credits can be either 20% or 35% of the eligible expenditures.
- If you're a Canadian controlled private corporation, you may be eligible to have a portion (or all) of the 35% federal tax credits paid out in cash.
- If you qualify for the 15% Nova Scotia R&D tax credits, you may be eligible to have a portion (or all) of the credits paid out in cash, if there are no other taxes owing.
Digital Media Tax Credit
Nova Scotia offers a digital media tax credit that rivals all others in Canada - making this the ideal place for video game development and interactive media.
- Qualifying companies can claim the lesser of 50% of the qualifying expenditures or 25% of total expenditures.
- Qualifying expenditures could include: 100% of eligible salaries in Nova Scotia, 65% of third party labour remuneration and up to $100,000 in marketing and distribution expenditures.
Nova Scotia Unlimited Liability Companies (NSULC)
If you're considering establishing or acquiring a business in Nova Scotia, an NSULC may suit your business requirements. The following are some examples of the benefits of using an NSULC:
- A US taxpayer may be able to use losses from its Canadian business as a deduction against its income for US income tax purposes.
- A US taxpayer could use the NSULC to limit transfer pricing issues to Canada.
- A US individual could have a local corporate presence in Canada while at the same time having the benefit of a flow-through entity for US income tax purposes.
- NSULCs do not have residency requirements for directors of Nova Scotia companies.
If you would like further information on any of these programs, please contact us.
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