Incentives, Financing and Tax Credits

 

Provincial Support for Business

 

Programs Description Contact

Business Attraction Fund

 

Financial assistance in the forms of equity and loans, as well as a $ 3 million allocation for non-repayable contributions in support of start up and business expansion from large scale  businesses.

Department of Business

1-709-729-3254

     

Aerospace and Defence Development Fund (ADDF)

Non-repayable contribution up to 50% of total eligible costs (or up to 75% if outside Northeast Avalon region) on projects that support capacity building in the Aerospace and Defence sector.

 

Minimum total project investment $1.0M.

Department of Business

1-709-729-3254

     

Oil and Gas Manufacturing and Services Export Development Fund (OGEDF)

Non-repayable contribution up to 50% of total eligible costs (or up to 75% if outside Northeast Avalon region) on projects that have advanced technology transfer potential that enhance oil and gas related export capability , support export-related commercialization, expand export market opportunities and create economic growth and employment in the Province's oil and gas supply and service industry.

Department of Business

1-709-729-3254

     

Economic Diversification and Growth Enterprises (EDGE)

Major tax incentives and benefits offered to new and existing businesses interested in expanding in the Province.

  • 100 percent rebate on provincial corporate income tax and the provincial and payroll tax
  • 50 percent rebate on federal corporate income tax
  • further 5 year period of partial rebate on the provincial and federal taxes, declining by 20 percent
  • 100 percent  rebate on municipal property and/or municipal business taxes
Access to unserviced Crown land for $1 dollar.

Department of Innovation, Trade and Rural Development

1-800-563-2299

     

Business and Market Development Program

Provides  up to $25,000 non-repayable grant to new entrepreneurs and expanding small businesses to help them acquire the necessary expertise to pursue new business ideas and new markets for their products and services.

Department of Innovation, Trade and Rural Development

1-800-563-2299

     
Small and Medium-sized Enterprise Fund

Provides term loans (up to $500,000 per project) and equity investments ($500,000 per project) to small and medium-sized businesses in strategic growth sectors: manufacturing, information technology, aquaculture, bio-technology, marine services, agrifoods and tourism.

Department of Innovation, Trade and Rural Development

1-800-563-2299

     

Commercialization Program

Provides a direct equity investment or a conditionally repayable contribution up to  75 percent to total project costs to a maximum value of $ 500,000 per project.

 

Project must be based in Newfoundland and Labrador and be innovative in a post-research stage of product and market development leading to full commercialization.

Department of Innovation, Trade and Rural Development

1-800-563-2299

     

Workplace Skills Enhancement Program

Helps small and medium-sized enterprises acquire  and /or up-skill employees to enhance skills, productivity and global competitiveness.

 

Assistance is provided through wage subsidy for new employees or non-repayable contribution for existing employees.

Department of Innovation, Trade and Rural Development

1-800-563-2299

     

Business Networks Program

Financial assistance is available to create new business networks or for existing business networks to participate in activities related to export development.

 

Assistance up to 50 percent of eligible costs to a maximum of $50,000.

Department of Innovation, Trade and Rural Development

1-800-563-2299

     

Fish Plant Workers Employment Assistance Program

Provides new entrepreneurs and expanding small business with funding to employ fish plant workers negatively affected by the closure of a fish plant.

 

Up to one year, wage subsidy of 50% of gross wages to a maximum of $10,000 each incremental job.

Department of Innovation, Trade and Rural Development

1-800-563-2299

     

Wholesale Marketing Program

Assists craft, gift and apparel producers with developing wholesale market for their products including active participation in the Wholesale Shows and Wholesale Buyers Guide.

Department of Innovation, Trade and Rural Development

1-800-563-2299

     

Crafts of Character Branding Program

Assists craft, gift and apparel producers to promote their products in the marketplace through product identification and point-of-sales materials, online, advertising and promotional activities undertaken by the department.

Department of Innovation, Trade and Rural Development

1-800-563-2299

     

Craft Industry Development Program

Provides a non-repayable contribution to craft, gift and apparel producers and retailers,  economic development organizations, and not-for-profit organizations for activities related to professional skill development, design and product development, market development, cooperative and sector development initiatives.

Department of Innovation, Trade and Rural Development

1-800-563-2299

     

Immigrant Entrepreneur - Nominee Program

Intended for prospective immigrants who propose to establish a new business or who propose to purchase all or part of an existing business that has supportable prospects for expansion in Newfoundland and Labrador and who intend to be self-employed in that business.

Department of Human Resources and Labour Employment

1-709-729-5847

     

Direct Equity Tax Credit

Provides investors with a tax credit for their direct investment in eligible local businesses.

 

Program is targeted to small businesses engaged in grown areas of economy: technology, research and development, aquaculture, forestry and agrifoods, manufacturing and processing, export/import replacement businesses, tourism and cultural industries.

Department of Finance

1-709-729-2277

     

Manufacturing and Processing Profits Tax Credit

Applies to corporation that carry out manufacturing and processing from a permanent establishments located in Newfoundland and Labrador.

 

The credit allows deduction from Newfoundland corporate income tax of 9% on Taxable Canadian Manufacturing and Processing Profits.

Canada Revenue Agency

1-709-729-2128

     

Small Business Tax Credit

Offers reduced tax rate of 5% of active business income to small businesses. The reduced tax rate for small business is available to corporations that qualify for the federal Small Business Deduction (SBD).

Canada Revenue Agency

1-709-729-3166