While several provinces have implemented early-stage investment tax incentives to stimulate regional innovation, these programs vary widely in structure, eligibility, and accessibility. Table 2 illustrates this fragmented landscape—highlighting the case for a harmonized federal incentive that builds on provincial success while enabling national- scale capital mobilization.
Table 2: Fragmented Provincial Equity Tax Credit Landscape
Tax Relief/Benefit Level
Province
Type of Incentive
Eligibility Criteria
Small Business Venture Capital Tax Credit (2001)
Individuals, Corporations, VC Corporations
30% (Individuals and Corporations)
British Columbia
Technology Start-up Incentive (TSI) (2019)
45% (Individuals, refundable)
Individuals
Saskatchewan
Small Business Venture Capital Tax Credit (2008)
45% (Individuals, refundable); 30% (Corporations)
Individuals, Corporations
Manitoba
50% (Individuals); 15% (Corporations and Trusts)
Small Business Investor Tax Credit (2005)
Individuals, Corporations, Trusts
New Brunswick
Individuals: 35% (standard) or 45% (designated sectors: Oceans Tech, Life Sciences); Corporations: 15%
Individuals; credit rate varies by sector Corporations
Innovation Equity Tax Credit (2019)
Nova Scotia
Individuals: 35% up to $50K (outside NE Avalon); 20% up to $50K (within NE Avalon)
Individuals, Corporations Credit rate varies by geography
Direct Equity Tax Credit (2000)
Newfoundland and Labrador
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