Tax credits and incentives: Western Canada

The interactive digital media tax credit (IDMTC) is for eligible registered corporations in British Columbia that develop interactive digital media products.

Interactive digital media products are designed to be used interactively by individuals and:

• consists of a combination of application files and data files, in a digital format, that are integrated and are intended to be operated together
• is designed primarily to educate, inform or entertain the user
• is capable of presenting information in at least two of the following forms:
  • text
  • sound
  • images

Learn more about eligibility requirements.

• the amount of its refundable credit for that year, and
• any amount renounced for that year

The Paid Work Experience Tax Credit includes two components:

1. Co-op Students Hiring Incentive (for current co-op students): The credit equals 15% of salaries and wages to a lifetime maximum of $5,000 per student, but with no limit on the number of placements for which an employer may be credited.
2. Co-op Graduates Hiring Incentive: For hiring recent co-op education graduates into permanent employment in Manitoba, linked to their area of study. The credit equals 15% of net wages and salaries, earned on completion of each of the first two consecutive years of full-time employment, to a maximum credit of $2,500 per year per graduate. There is no limit on the number of co-op graduates for which an employer may be credited.

• Work must be performed primarily in Manitoba.
• The employer must reside in or have a permanent establishment in Manitoba.
• Employer wage costs do not include other government assistance.
• Eligible employers include taxable corporations or exempt corporate entities.
• For the 2017 and subsequent tax years, Crown corporations and other provincial government entities are not eligible for this credit.
• Unincorporated employers may claim the refundable credit on the individual income tax return.

• Qualifying RD expenditures by Saskatchewan Canadian-controlled private corporations (CCPCs) will be eligible for a 10% refundable RD tax credit for the first $1 million annual qualifying expenditures made on or after April 1, 2017.
• Qualifying RD expenditures in excess of the annual limit, as well as qualifying expenditures by other corporations are eligible for a 10% non-refundable RD Tax Credit.