Canada Revenue Agency

Research and Development Tax Credit

Amount:

No Fixed Amount

Type of Program:

Tax Credit

Description:

The Newfoundland and Labrador R&D tax credit is administered by the Canada Revenue Agency and is fully refundable at the rate of 15% of eligible expenditures. It is available to taxpayers, including corporations and individuals, beneficiaries of a trust, and members of a partnership, with a permanent establishment in Newfoundland and Labrador, for scientific research and experimental development (SR&ED) carried out in this province.

Comments on Funding:

Funding is 15% of eligible expenditures.
The Newfoundland and Labrador R&D tax credit will reduce the federal pool of deductible SR&ED expenditures and qualified SR&ED expenditures.

When It Ends:

Ongoing

Deadline:

Rolling deadline

Eligibility:

The applicant must:

be taxpayers, including corporations and individuals, beneficiaries of a trust, and members of a partnership,
have a permanent establishment in Newfoundland and Labrador,
carry out scientific research and experimental development (SR&ED) in this province and incur expenditures that are eligible for the federal Scientific Research and Experimental Development tax credits..

Documentation Needed:

To claim this tax credit, applicants must complete:

T2SCH301 Newfoundland and Labrador Research and Development Tax Credit, if they are corporations,
T1129 Newfoundland and Labrador Research and Development Tax Credit, if they are individuals.

Program Contact:

Research and development (R&D) tax credit

Scientific Research and Experimental Development Tax Credit

Provincial and Territorial Foreign Tax Credits

Amount:

No Fixed Amount

Type of Program:

Tax Credit

Description:

The provincial or territorial foreign tax credit is available to corporations and can be claimed for taxes it paid to another country on foreign non-business income. This credit reduces the provincial tax otherwise payable.

When It Ends:

Ongoing

Deadline:

Rolling Deadline

Eligibility:

The applicant must:

be a corporation,
be resident in Canada throughout the tax year,
have a permanent establishment in the province or territory at any time in the tax year,
have a foreign investment income for the tax year,
have the foreign non-business income tax paid exceeding the federal foreign non-business income tax credit deductible for the year.

This tax cannot be claimed for the provinces of Quebec and Alberta on the federal return, because these provinces collect their own income taxes.

Documentation Needed:

To claim the foreign tax credit, applicants must complete Schedule 21, Federal and Provincial or Territorial Foreign Income Tax Credits and Federal Logging Tax Credit. On the appropriate lines of part 2 of Schedule 5, Tax Calculation Supplementary – Corporations, they must enter the applicable provincial and territorial foreign tax credits.

Program Contact:

Provincial and territorial foreign tax credits

Research and Development Tax Credit

Amount:

No Fixed Amount

Type of Program:

Tax Credit

Description:

The Nova Scotia R&D tax credit offers tax relief o Nova Scotia corporations that incur qualified scientific research and experimental development (SR&ED) expenditures made in Nova Scotia, as defined by the federal Income Tax Act. It is fully refundable at the rate of 15% of eligible expenditures.

Comments on Funding:

Funding is 15% of eligible expenditures.
Eligible expenditures are reduced by government and non-government assistance, but not the Nova Scotia R&D tax credit. The Nova Scotia R&D tax credit will reduce the federal pool of deductible SR&ED expenditures and qualified SR&ED expenditures.

When It Ends:

Ongoing

Deadline:

Rolling Deadline

Eligibility:

Applicants must: