ONTARIO - Canadian Content

25% Stackable Federal Tax Credit - on Qualifying Canadian Labour Expenditure

• Regional - 10% of qualifying ON labor expenditures when > 85% of ON principal photography is done outside Greater Toronto Area, minimum 5 regional days required

• First Time Producer - 5% on the first $240K CAD of qualifying ON labor expenditures
• OCASE - 18% of qualifying digital animation and visual effects on ON labor

Eligible Ontario labour expenditures include salaries, wages and remuneration paid for the services of individuals who were resident in Ontario at the end of the calendar year prior to the commencement of principal photography. Productions can claim eligible labour expenditures possibly as early as two years prior to the commencement of principal photography. This may include labour expenditures for script development.

The applications for a Certificate of Eligibility and Letter of Confirmation must be submitted to Ontario Creates within 24 months from the end of the corporation’s taxation year in which principal photography began. The Certificate of Eligibility and the Letter of Confirmation must be issued by Ontario Creates within six months of the application deadline, or no later than 30 months from the corporation’s first taxation year end following the commencement of principal photography.

The above noted provincial incentive is stackable with Canada's Federal Tax Incentive, which is 25% of 'qualifying Canadian labour expenditures', defined as the lesser of (i) actual labour expenditures, and (ii) 60 % of 'Production Costs less Assistance' ('Assistance' includes any provincial incentives that are directly attributable to the Production).