Province of Ontario and Canadian
federal government incentive programs
The province of Ontario's Ministry of Economic Development, Trade and Employment offers many financial assistance and government tax incentive programs to assist business, as does Ontario's Ministry of Research and Innovation and the federal government’s Department of Foreign Affairs, Trade and Development Canada.
A selection of incentive programs of interest to innovative, research- and labour-intensive interactive digital media companies and vide game developers are provided below.
Ontario Computer Animation and Special Effects Tax Credit (OCASE) is a refundable tax credit of 20% to eligible companies for qualifying Ontario labour expenses in the production of computer animation and special effect activities in film or TV. More information.
Ontario Interactive Digital Media Tax Credit (OIDMTC) is a refundable tax credit of 35% or 40% for eligible labour, marketing and distribution expenditures for the creation of interactive digital media products. Details.
Ontario Emerging Technologies Fund targets digital media firms. These firms are included in Ontario's emerging technology sectors. You may be able to access up to a maximum of $25 million for your business.
Ontario Film and Televison Tax Credit (OFTTC) is a refundable tax credit of 35% for eligible Ontario labour expenditures incurred by a production company with respect to an eligible Ontario production.
Ontario Media Development Corporation (OMDC) Interactive Digital Media Fund is available to eligible applicants. A qualifying applicant receives a non-refundable contribution of up to $150,000, to a maximum of 50% of the project budget, to create a market-ready interactive digital media product.
Ontario Production Services Tax Credit (OPSTC) is a refundable tax credit of 25% based upon eligible Ontario labour and other production expenditures.
Ontario Sound Recording Tax Credit (OSRTC) is a refundable tax credit of 20% based upon eligible production and marketing costs incurred by a corporation with respect to an eligible Canadian sound recording.
Ontario Book Publishing Tax Credit (OBPTC) is a refundable tax credit of 30% based upon eligible pre-press, printing and marketing expenditures incurred by a qualifying corporation with respect to eligible book publishing activities in Ontario.
Film or Video Production Services Tax Credit Program (PSTC) is offered by the Canadian Audio-Visual Certification Office (CAVCO) and the Canada Revenue Agency and provides a refundable tax credit of 16% of eligible Canadian labour expenditures (amount of expenditures is not capped).
Scientific Research and Experimental Development (SR&ED) Tax incentives are aimed at innovative companies to reduce R&D costs.
Ontario Innovation Tax Credit is available to eligible Ontario-based corporations. Companies may be able to claim a 10% tax credit for scientific research and experimental development carried out in Ontario.
Ontario Media Development Corporation (OMDC) Tax Incentives are all listed in one place, under these program categories: Books, Magazines, Music, Interactive and Film & TV.
Ontario Centres of Excellence offer a range of services to companies, while developing links between academia and industry to speed the commercialization of ideas.