Ontario Research and Development Tax Credit
Tax creditOntario
A non-refundable provincial tax credit that allows qualifying corporations to claim a credit on eligible scientific research and experimental development expenditures performed in Ontario, reducing their Ontario corporate income tax payable. The credit rate is 3.5% for taxation years commencing after May 31, 2016, and 4.5% for years ending before June 1, 2016.
What you'll need
- T2 corporation income tax return
- Schedule 508 (Ontario Research and Development Tax Credit form)
- Federal form T661 (Scientific Research and Experimental Development Expenditures claim)
- Documentation of eligible R&D expenditures incurred in Ontario
- Proof of permanent establishment in Ontario