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Directory – Tax refunds and credits

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1. Increasing productivity

Book publishing tax credit

Société de développement des entreprises culturelles (SODEC)

You could get a tax credit of up to $437,500 to cover certain associated costs related to the pre-production, printing and labour expenses associated with publishing books by Quebec authors.

Eligible businesses include:

  • Book publishing businesses established in Quebec
  • Publishing houses recognized by SODEC

Valid printed and digital projects include:

  • Books
  • Children's books
  • Comic strips
  • Collections of poetry

You will need to submit a request for a certificate of approval with SODEC.

Other conditions apply.

Programme d'apprentissage en milieu de travail

Emploi Québec

You can get a tax credit to fund eligible expenses by having your experienced workers train your staff, which would enable you to do the following:

  • Enhance employee competencies
  • Leverage the expertise of your most experienced workers
  • Boost your productivity
  • Train your staff.

You must guarantee the quality of the training with respect to the following:

  • The equipment used
  • The work techniques used
  • Working conditions
  • Health and safety.

Other conditions apply.

Tax credit for the design of factory-made products (fashion design section)

Ministère de l'Économie, de la Science et de l'Innovation

If your business operates in the fashion or textile industries, you could receive a tax credit:

  • For your in-house design activities, performed by one of your employees: salary costs are admissible, up to a maximum of $60,000
  • For external activities carried out by a consultant: 65% of contract fees or royalties are eligible

Eligibility:

  • Obtain a certificate of eligibility from the Ministère de l'Économie, de la Science et de l'Innovation
  • Gross earnings of at least $150,000
  • Your production must be undertaken in Quebec

Other conditions apply.

Tax credit for the design of factory-made products (industrial design component)

Ministère de l'Économie, de la Science et de l'Innovation

Your business could get help to carry out industrial design work and make its products more competitive. You could, in fact, receive a tax credit:

  • To cover up to $60,000 in salary costs for internal design work carried out by one of your employees
  • To cover 65% of contract fees or charges for external work done by a consultant

Eligibility

  • Hold a certificate of eligibility from the Ministère de l'Économie, de la Science et de l'Innovation
  • Have a gross revenue of at least $150,000

Other conditions apply.

2. Buy or lease a plant, machinery or property

Refundable tax credit for film production services

Société de développement des entreprises culturelles (SODEC)

You could get a tax credit to cover up to 36% of the cost of qualified properties and labour costs incurred in Quebec, for your film production services, as well as for computer-aided animation and special effects.

To be eligible, you must:

  • Meet a minimum budget requirement
  • Have an approval certificate issued by SODEC
  • Be identified as a qualified corporation in a preliminary decision made by SODEC

Other conditions apply.

Tax credit for the modernization of a tourist accommodation establishment

Revenu Québec

If you own a tourist accommodation establishment located outside the census areas of metropolitan Montreal and Quebec, you could get a tax credit for up to 25% of eligible renovation expenses made before January 1, 2016.

Your establishment must:

  • Have assets of $400,000 or more
  • Have a gross income of at least $100,000
  • Hold a valid classification as a hotel, resting-place, tourist residence, resident camp or youth hostel.

Other conditions apply.

3. Increase my working capital

Book publishing tax credit

Société de développement des entreprises culturelles (SODEC)

You could get a tax credit of up to $437,500 to cover certain associated costs related to the pre-production, printing and labour expenses associated with publishing books by Quebec authors.

Eligible businesses include:

  • Book publishing businesses established in Quebec
  • Publishing houses recognized by SODEC

Valid printed and digital projects include:

  • Books
  • Children's books
  • Comic strips
  • Collections of poetry

You will need to submit a request for a certificate of approval with SODEC.

Other conditions apply.

Refundable tax credit for film production services

Société de développement des entreprises culturelles (SODEC)

You could get a tax credit to cover up to 36% of the cost of qualified properties and labour costs incurred in Quebec, for your film production services, as well as for computer-aided animation and special effects.

To be eligible, you must:

  • Meet a minimum budget requirement
  • Have an approval certificate issued by SODEC
  • Be identified as a qualified corporation in a preliminary decision made by SODEC

Other conditions apply.

Small business deduction

Canada Revenue Agency (CRA)

If you operate a Canadian-controlled private corporation, you may be eligible for an annual tax credit. This reduces the amount of tax that your business might otherwise have to pay.

The amount of the credit is calculated when you complete your corporation's T2 income tax return. If you are not associated with any other corporations, the allowable business limit you can claim is $500,000. Other conditions apply.

For more information, see chapter 4 of the Corporation Income Tax Guide.

Tax credit for multimedia event or environment productions sponsored outside Quebec

Société de développement des entreprises culturelles (SODEC)

You could get a tax credit of up to $350,000 to cover eligible labour costs and production expenses to help you showcase your multimedia projects outside Quebec.

You must:

  • Provide an informative and cultural experience for entertainment purposes, not for advertising purposes
  • Showcase your production in a place of entertainment based outside Quebec
  • Comply with a scoring grid for Quebec-based employees who hold a creative position in the production of the event

Other conditions apply.

Tax credit for the design of factory-made products (fashion design section)

Ministère de l'Économie, de la Science et de l'Innovation

If your business operates in the fashion or textile industries, you could receive a tax credit:

  • For your in-house design activities, performed by one of your employees: salary costs are admissible, up to a maximum of $60,000
  • For external activities carried out by a consultant: 65% of contract fees or royalties are eligible

Eligibility:

  • Obtain a certificate of eligibility from the Ministère de l'Économie, de la Science et de l'Innovation
  • Gross earnings of at least $150,000
  • Your production must be undertaken in Quebec

Other conditions apply.

Tax credit for the design of factory-made products (industrial design component)

Ministère de l'Économie, de la Science et de l'Innovation

Your business could get help to carry out industrial design work and make its products more competitive. You could, in fact, receive a tax credit:

  • To cover up to $60,000 in salary costs for internal design work carried out by one of your employees
  • To cover 65% of contract fees or charges for external work done by a consultant

Eligibility

  • Hold a certificate of eligibility from the Ministère de l'Économie, de la Science et de l'Innovation
  • Have a gross revenue of at least $150,000

Other conditions apply.

Tax credit for the modernization of a tourist accommodation establishment

Revenu Québec

If you own a tourist accommodation establishment located outside the census areas of metropolitan Montreal and Quebec, you could get a tax credit for up to 25% of eligible renovation expenses made before January 1, 2016.

Your establishment must:

  • Have assets of $400,000 or more
  • Have a gross income of at least $100,000
  • Hold a valid classification as a hotel, resting-place, tourist residence, resident camp or youth hostel.

Other conditions apply.

Tax credits for production of multimedia titles

Investissement Québec

You could receive a refundable tax credit of up to 37.5% of eligible work force expenses, if your business:

  • Produces digital text, sound, static or animated images
  • Uses an electronic support governed by software that allows for interactivity
  • Carries out all the work involved in the production of the multimedial title

To be eligible for this tax credit, you must first obtain an initial certificate of eligibility, as well as an attestation of production work, issued by Investissement Québec.

Other conditions apply.

4. Increase sales in Canada

Tax credit for the design of factory-made products (fashion design section)

Ministère de l'Économie, de la Science et de l'Innovation

If your business operates in the fashion or textile industries, you could receive a tax credit:

  • For your in-house design activities, performed by one of your employees: salary costs are admissible, up to a maximum of $60,000
  • For external activities carried out by a consultant: 65% of contract fees or royalties are eligible

Eligibility:

  • Obtain a certificate of eligibility from the Ministère de l'Économie, de la Science et de l'Innovation
  • Gross earnings of at least $150,000
  • Your production must be undertaken in Quebec

Other conditions apply.

Tax credit for the design of factory-made products (industrial design component)

Ministère de l'Économie, de la Science et de l'Innovation

Your business could get help to carry out industrial design work and make its products more competitive. You could, in fact, receive a tax credit:

  • To cover up to $60,000 in salary costs for internal design work carried out by one of your employees
  • To cover 65% of contract fees or charges for external work done by a consultant

Eligibility

  • Hold a certificate of eligibility from the Ministère de l'Économie, de la Science et de l'Innovation
  • Have a gross revenue of at least $150,000

Other conditions apply.

Tax credits for production of multimedia titles

Investissement Québec

You could receive a refundable tax credit of up to 37.5% of eligible work force expenses, if your business:

  • Produces digital text, sound, static or animated images
  • Uses an electronic support governed by software that allows for interactivity
  • Carries out all the work involved in the production of the multimedial title

To be eligible for this tax credit, you must first obtain an initial certificate of eligibility, as well as an attestation of production work, issued by Investissement Québec.

Other conditions apply.

Tax credits — Market Diversification for Quebec Manufacturing Companies

Investissement Québec

If you would like to market your products outside Quebec, you may be able to benefit from this refundable tax credit covering up to 24% of eligible certification costs, incurred prior to January 1st, 2016, to a maximum of $45,000.

To be eligible, your business must:

  • Be located in Quebec
  • Manufacture eligible goods
  • Have assets of $50 million or less
  • Carry out 75% of its activities in the manufacturing sector
  • Have a corporation certificate issued by Investissement Québec

Other conditions apply.

5. Commercialization

Soft Landing program

Canadian Digital Media Network

Are you ready to introduce your ICT product or service to international markets? If you have existing revenues and are a client of the Canadian Digital Media Network's hub partners, you could be eligible for reimbursements of:

  • Up to $4,000 towards transportation and accommodation costs
  • Up to 3 months of desk space at a co-working location, accelerator or incubator

To be eligible, your ICT product or service must be market ready and there must be potential for growth in foreign markets.

Other conditions apply.

Tax credit for multimedia event or environment productions sponsored outside Quebec

Société de développement des entreprises culturelles (SODEC)

You could get a tax credit of up to $350,000 to cover eligible labour costs and production expenses to help you showcase your multimedia projects outside Quebec.

You must:

  • Provide an informative and cultural experience for entertainment purposes, not for advertising purposes
  • Showcase your production in a place of entertainment based outside Quebec
  • Comply with a scoring grid for Quebec-based employees who hold a creative position in the production of the event

Other conditions apply.

Tax Credit for Salaries and Wages (R&D)

Investissement Québec

You could benefit from a tax credit rate of 14% to 37.5% of your payroll, if your business:

  • Performs or contracts out scientific research and experimental development (SR&ED) work
  • Performs R&D work in Quebec
  • Is neither exempt from taxes, nor controlled by an incorporated business exempt from taxes
  • Is not an incorporated business controlled by a prescribed research entity

An eligible biopharmaceutical company that has a certificate issued by Investissement Québec before June 4, 2014 could benefit from a reduced rate.

Other conditions apply.

Tax credits — Market Diversification for Quebec Manufacturing Companies

Investissement Québec

If you would like to market your products outside Quebec, you may be able to benefit from this refundable tax credit covering up to 24% of eligible certification costs, incurred prior to January 1st, 2016, to a maximum of $45,000.

To be eligible, your business must:

  • Be located in Quebec
  • Manufacture eligible goods
  • Have assets of $50 million or less
  • Carry out 75% of its activities in the manufacturing sector
  • Have a corporation certificate issued by Investissement Québec

Other conditions apply.

Tax holiday for a new business created to commercialize a given intellectual property

Ministère de l'Économie, de la Science et de l'Innovation

Did you set up a new business to commercialize your intellectual property before April 1, 2014? If so, you could benefit from this tax relief measure for a period of up to 10 years.

To be eligible:

  • The intellectual property must come from a university or public research centre
  • All your revenue must be associated with its commercial use
  • You must hold a certificate issued by the department

Other conditions apply.

6. Hire or train employees

Apprenticeship Job Creation Tax Credit

Canada Revenue Agency (CRA)

If you hire an apprentice, you could get a tax credit equal to 10% of that person's salary. The maximum credit is $2,000 per year per eligible apprentice.

You need to hire an apprentice who is:

  • In the first 2 years of an apprenticeship program registered with the government
  • In a trade like those listed under the Red Seal Trades
  • Working towards getting a certificate or licence in that trade

You can carry any unused credit back 3 years or carry it forward 20 years.

Film or Video Production Services Tax Credit

Canadian Heritage

You may qualify for a tax credit of 16% on salaries and wages paid to Canadian residents working on your film or video production.

  • There is no cap on the tax credit.
  • The credit is available to both Canadian and foreign-owned businesses with permanent establishments in Canada.
  • There is an application fee of $5,000.

Other conditions apply.

Programme d'apprentissage en milieu de travail

Emploi Québec

You can get a tax credit to fund eligible expenses by having your experienced workers train your staff, which would enable you to do the following:

  • Enhance employee competencies
  • Leverage the expertise of your most experienced workers
  • Boost your productivity
  • Train your staff.

You must guarantee the quality of the training with respect to the following:

  • The equipment used
  • The work techniques used
  • Working conditions
  • Health and safety.

Other conditions apply.

Refundable tax credit for film production services

Société de développement des entreprises culturelles (SODEC)

You could get a tax credit to cover up to 36% of the cost of qualified properties and labour costs incurred in Quebec, for your film production services, as well as for computer-aided animation and special effects.

To be eligible, you must:

  • Meet a minimum budget requirement
  • Have an approval certificate issued by SODEC
  • Be identified as a qualified corporation in a preliminary decision made by SODEC

Other conditions apply.

Tax credit for an on-the-job training period

Revenu Québec

You may be eligible to receive a tax credit for up to 32% of eligible expenses if you provide a training internship of at least 140 hours for a full-time student registered at a recognized educational institution.

You must:

  • Operate a business based in Quebec;
  • Have received the Attestation de participation à un stage de formation admissible certificate, duly signed by a representative of the educational institution in the six months following the end of the internship.

Other conditions apply.

Tax credit for Gaspésie and selected maritime regions of Quebec

Investissement Québec

You may be eligible for a tax credit of up to 30% of an employee's salary if at least 75% of their time is spent on tasks directly related to:

  • Marine biotechnology and mariculture
  • Manufacturing or processing of eligible products
  • Wind energy production
  • Recreational tourism activities

Eligible regions are:

  • Bas-Saint-Laurent
  • Côte-Nord
  • Gaspésie-Îles-de-la-Madeleine

Your business must obtain a qualifying certificate issued by Investissement Québec.

Tax credit for the design of factory-made products (fashion design section)

Ministère de l'Économie, de la Science et de l'Innovation

If your business operates in the fashion or textile industries, you could receive a tax credit:

  • For your in-house design activities, performed by one of your employees: salary costs are admissible, up to a maximum of $60,000
  • For external activities carried out by a consultant: 65% of contract fees or royalties are eligible

Eligibility:

  • Obtain a certificate of eligibility from the Ministère de l'Économie, de la Science et de l'Innovation
  • Gross earnings of at least $150,000
  • Your production must be undertaken in Quebec

Other conditions apply.

Tax credit for the design of factory-made products (industrial design component)

Ministère de l'Économie, de la Science et de l'Innovation

Your business could get help to carry out industrial design work and make its products more competitive. You could, in fact, receive a tax credit:

  • To cover up to $60,000 in salary costs for internal design work carried out by one of your employees
  • To cover 65% of contract fees or charges for external work done by a consultant

Eligibility

  • Hold a certificate of eligibility from the Ministère de l'Économie, de la Science et de l'Innovation
  • Have a gross revenue of at least $150,000

Other conditions apply.

Tax credits for production of multimedia titles

Investissement Québec

You could receive a refundable tax credit of up to 37.5% of eligible work force expenses, if your business:

  • Produces digital text, sound, static or animated images
  • Uses an electronic support governed by software that allows for interactivity
  • Carries out all the work involved in the production of the multimedial title

To be eligible for this tax credit, you must first obtain an initial certificate of eligibility, as well as an attestation of production work, issued by Investissement Québec.

Other conditions apply.

Tax holiday for foreign experts

Ministère de l'Économie, de la Science et de l'Innovation

If you recruit foreign experts to work on your innovation, scientific research, and experimental development project in Quebec, you could obtain a tax holiday of up to 60 consecutive months.

The assistance applies to the salaries paid to the foreign experts, as follows:

  • 100% of taxable earnings for the first two years
  • 75% the third year
  • 50% the fourth year
  • 25% the fifth year

You must hire a foreign researcher with an undergraduate diploma recognized by a Quebec university. The candidate must also have pertinent experience in the field.

Other conditions apply.

Tax holiday for foreign researchers

Ministère de l'Économie, de la Science et de l'Innovation

This tax measure facilitates the recruitment of researchers from abroad to work on your innovation project.

To qualify for this tax holiday, with a maximum duration of 60 consecutive months and applicable to the salary paid to the foreign researcher, you must:

  • Have a business operating in Quebec
  • Conduct scientific research and experimental development
  • Have signed an employment contract with a foreign researcher with a graduate degree recognized by a Quebec university

Other conditions apply.

7. To export my products or services

Exportateurs de classe mondiale Program

Agri-Food Export Group Québec–Canada

You could get a refund of up to 30% of the cost of activities related to exporting products outside of Quebec.

Eligible activities include:

  • Market exploration
  • Market validation
  • Hosting buyers in Quebec
  • Participation in trade shows

You must:

  • Conduct processing and packaging activities in Quebec
  • Have processed or marketed agri-food products predominantly from Québec for at least 2 years
  • Be able to provide a three-year export business plan.

Other conditions apply.

Soft Landing program

Canadian Digital Media Network

Are you ready to introduce your ICT product or service to international markets? If you have existing revenues and are a client of the Canadian Digital Media Network's hub partners, you could be eligible for reimbursements of:

  • Up to $4,000 towards transportation and accommodation costs
  • Up to 3 months of desk space at a co-working location, accelerator or incubator

To be eligible, your ICT product or service must be market ready and there must be potential for growth in foreign markets.

Other conditions apply.

Tax credit for multimedia event or environment productions sponsored outside Quebec

Société de développement des entreprises culturelles (SODEC)

You could get a tax credit of up to $350,000 to cover eligible labour costs and production expenses to help you showcase your multimedia projects outside Quebec.

You must:

  • Provide an informative and cultural experience for entertainment purposes, not for advertising purposes
  • Showcase your production in a place of entertainment based outside Quebec
  • Comply with a scoring grid for Quebec-based employees who hold a creative position in the production of the event

Other conditions apply.

Tax credits — Market Diversification for Quebec Manufacturing Companies

Investissement Québec

If you would like to market your products outside Quebec, you may be able to benefit from this refundable tax credit covering up to 24% of eligible certification costs, incurred prior to January 1st, 2016, to a maximum of $45,000.

To be eligible, your business must:

  • Be located in Quebec
  • Manufacture eligible goods
  • Have assets of $50 million or less
  • Carry out 75% of its activities in the manufacturing sector
  • Have a corporation certificate issued by Investissement Québec

Other conditions apply.

8. Get a patent, license, or apply a new technology

Tax credit for technological adaptation services

Revenu Québec

If your Quebec business has signed a contract with an eligible college technology transfer centre or eligible liaison and transfer centre, you could benefit from this tax credit.

Financial support could cover up to 50% of eligible expenses, including:

  • Fees associated with liaison and transfer services provided by the centre
  • Fees for participating in training and information activities

Other conditions apply.

Tax Credit for the Integration of IT in Manufacturing and Primary Sector SMBs

Investissement Québec

If you want to modernize your business processes by integrating high value-added software packages, you could get a refundable tax credit covering up to 20% of your eligible expenses, up to a maximum of $50,000.

You must:

  • Primarily carry out manufacturing or processing activities in Quebec
  • Sign an agreement pertaining to a qualified IT integration contract, negotiations for which began after March 26, 2015, but before January 1st, 2020
  • Have consolidated paid-up capital between $35 million to $50 million

Other conditions apply.

Tax holiday for a new business created to commercialize a given intellectual property

Ministère de l'Économie, de la Science et de l'Innovation

Did you set up a new business to commercialize your intellectual property before April 1, 2014? If so, you could benefit from this tax relief measure for a period of up to 10 years.

To be eligible:

  • The intellectual property must come from a university or public research centre
  • All your revenue must be associated with its commercial use
  • You must hold a certificate issued by the department

Other conditions apply.

9. Research, develop or commercialize a new product/idea

Reconnaissance des consortiums de recherche admissibles

Ministère de l'Économie, de la Science et de l'Innovation

The purpose of this tax measure is to encourage businesses from one or more related industries to become part of consortia or to create one, with a view to carrying out joint pre-competitive research.

The refundable tax credit for research conducted by a research consortium could cover 80% of the amount of a contract for R&D work.

Other conditions apply.

Scientific Research and Experimental Development Tax Incentive Program (SR&ED)

Canada Revenue Agency (CRA)

If you conduct industrial R&D in Canada, you may be eligible for a tax refund or tax credit of up to 35% of what you spent on R&D.

You can apply for tax credits for expenses like wages, materials, machinery, equipment, some overhead and contracts related to:

  • Experimental development
  • Applied research
  • Basic scientific research
  • Certain types of technical support work

You can apply for the tax credit as part of your tax return by completing the required forms. There are a variety of tools and services available to help you with your claim.

Soft Landing program

Canadian Digital Media Network

Are you ready to introduce your ICT product or service to international markets? If you have existing revenues and are a client of the Canadian Digital Media Network's hub partners, you could be eligible for reimbursements of:

  • Up to $4,000 towards transportation and accommodation costs
  • Up to 3 months of desk space at a co-working location, accelerator or incubator

To be eligible, your ICT product or service must be market ready and there must be potential for growth in foreign markets.

Other conditions apply.

Tax credit for pre-competitive private partnership research

Ministère de l'Économie, de la Science et de l'Innovation

Do you want to carry out Scientific Research and Experimental Development projects in Quebec? If so, your Canadian business could benefit from a 30% refundable tax credit for work performed in a partnership with an eligible private company.

The tax credit may cover SR&ED costs related to:

  • Salaries
  • Cost of materials and installation
  • Contracts entrusted to sub-contractors (up to 80%)
  • Overhead costs

To be eligible, you must obtain a certificate of eligibility issued by the Department.

Other conditions apply.

Tax Credit for Salaries and Wages (R&D)

Investissement Québec

You could benefit from a tax credit rate of 14% to 37.5% of your payroll, if your business:

  • Performs or contracts out scientific research and experimental development (SR&ED) work
  • Performs R&D work in Quebec
  • Is neither exempt from taxes, nor controlled by an incorporated business exempt from taxes
  • Is not an incorporated business controlled by a prescribed research entity

An eligible biopharmaceutical company that has a certificate issued by Investissement Québec before June 4, 2014 could benefit from a reduced rate.

Other conditions apply.

Tax credit for the development of e-business

Investissement Québec

You could get a refundable tax credit of up to $25,000 per eligible employee for your business, if:

  • 75% of your gross revenue is derived from the information technology sector
  • 50% of your activities belong to NAICS codes 511211, 511212, 541514, 541515 and, under certain conditions, 561320 and 561330
  • Your business has 6 or more employees on a full-time basis

To be eligible, you must obtain an eligiblilty certificate from Investissement Québec for both your corporation and your employees.

Other conditions apply.

Tax holiday for foreign experts

Ministère de l'Économie, de la Science et de l'Innovation

If you recruit foreign experts to work on your innovation, scientific research, and experimental development project in Quebec, you could obtain a tax holiday of up to 60 consecutive months.

The assistance applies to the salaries paid to the foreign experts, as follows:

  • 100% of taxable earnings for the first two years
  • 75% the third year
  • 50% the fourth year
  • 25% the fifth year

You must hire a foreign researcher with an undergraduate diploma recognized by a Quebec university. The candidate must also have pertinent experience in the field.

Other conditions apply.

Tax holiday for foreign researchers

Ministère de l'Économie, de la Science et de l'Innovation

This tax measure facilitates the recruitment of researchers from abroad to work on your innovation project.

To qualify for this tax holiday, with a maximum duration of 60 consecutive months and applicable to the salary paid to the foreign researcher, you must:

  • Have a business operating in Quebec
  • Conduct scientific research and experimental development
  • Have signed an employment contract with a foreign researcher with a graduate degree recognized by a Quebec university

Other conditions apply.

For any inquiries, please contact our information agents.

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