DIRECT FINANCIAL ASSISTANCE

Strategic Innovation Fund (SIF): The Strategic Innovation Fund allocates repayable and non-repayable contributions to firms of all sizes across all of Canada's industrial and technology sectors. The program has a budget of $1.26 billion over five years.‍

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Atlantic Innovation Fund (AIF): The AIF helps Atlantic Canadians develop and bring to market new products and services that lead to market success, help grow strategic sectors, or lead to the creation of research and commercialization partnerships.‍

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Innovation Rebate Program (IRP): Provides a rebate of up to 25% to help businesses invest in capital projects that support the development of products and value-added products. The project must have a minimum investment of $350,0000 with a maximum amount of eligible project costs to which the IRP rebate will be applied is $15 million.‍

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Payroll Rebate Program: Nova Scotia’s payroll rebate is an earned incentive, paid out yearly after a company achieves pre-determined targets. The rebate is a return on a company’s eligible gross payroll. It is issued over a set number of years—usually between three and five—and to a set amount. The payroll rebate agreement includes performance targets that a company must achieve in order to receive the rebate, including number of new positions created and average annual salary. For most rebate awards, the minimum number of jobs created must exceed 20 full-time positions.

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TAX CREDITS

Scientific Research and Experimental Development (SR&ED) Tax Incentive Program: Companies in Canada that invest in R&D can apply for the SR&ED tax incentives, irrespective of size, industry sector, or field of technology. The SR&ED tax credit and provincial tax credits for R&D are a distinct benefit in addition to corporate tax provisions allowing for full deduction of current R&D expenditures from business income.

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‍Nova Scotia Research & Development Tax Credit: This credit offers tax relief to Nova Scotia corporations that incur qualified scientific research and experimental development (SR&ED) expenditures made in Nova Scotia and provides an additional 15% tax credit.‍

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Nova Scotia Capital Investment Tax Credit (CITC): A refundable corporate income tax credit claimed by eligible corporations for capital equipment acquired for use in Nova Scotia. The capital equipment must be acquired as part of an "approved project", where $15 million or more is spent on “qualified property” over a period not exceeding 5 years and meets expenditure requirements. The rate of the tax credit is 25% of the capital cost of "qualified property" acquired in a taxation year, with a maximum tax credit of $100 million per "approved project."

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TRAINING PROGRAMS

Workplace Innovation and Productivity Skills Incentive (WIPSI): Workplace Innovation and Productivity Skills Incentive provides funding to companies to encourage investment in skills development and certification for full-time employees. It is also designed to help companies adapt to the introduction of new technology and innovative processes, improve productivity, and strengthen international competitiveness. WIPSI primarily provides funding for direct training costs and may also cover other expenses like travel (up to 50%) and accommodation costs for persons with disabilities (up to 100%).‍

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Co-op Education Incentive (CO-OP): The CO-OP program provides wage assistance to private sector, government-funded, and non-profit organizations offering career-related work experiences for university and community college co-operative students. Employers pay students a minimum of $15.00 per hour plus 4% vacation pay. CO-OP will reimburse $7.50 per hour to a maximum of 40 hours per week. Employers participating in IRAP and SR&ED are eligible for an “R&D Incentive” and may receive up to $10.00 per hour.‍

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Graduate to Opportunity (GTO): Employers can receive funding for up to 25% of the first year’s salary and 12.5% for the second year for hiring recent graduates from a Nova Scotia higher education institution. Employers can receive an additional 10% bonus of the individual is a member of a designated diversity group.

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Last Updated: July 2023