Development of E-Business Tax Credit Integrating Artificial Intelligence (CDAEIA)
Last Update: July 29, 2025
QC, Canada
Supports digital business projects integrating artificial intelligence in Quebec
Development of E-Business Tax Credit Integrating Artificial Intelligence (CDAEIA) at a glance
Eligible Funding
- Up to 30% of project cost
Timeline
- Open Date : March 25, 2025
- Closing date : January 1, 2026
Financing Type
Tax Credits
Eligible Industries
- Information and cultural industries
- Professional, scientific and technical services
- Administrative and support, waste management and remediation services
Grant Providers
- Gouvernement du Québec
- Investissement Québec (IQ)
Program status
Open
Overview of the Development of E-Business Tax Credit Integrating Artificial Intelligence (CDAEIA) program
The Development of E-Business Tax Credit integrating Artificial Intelligence (CDAEIA) offers a refundable and non-refundable tax credit of up to 30% of eligible salaries for businesses conducting significant electronic business activities that integrate artificial intelligence. The program supports companies primarily engaged in IT, software development, and related services in Quebec, with eligible activities focusing on projects that meaningfully incorporate AI functionalities.
Financing terms and conditions
- The total tax credit rate is up to 30% of eligible salary for each eligible employee.
- For the 2026 fiscal year, the refundable tax credit is 22% and the non-refundable portion is 8% (total 30%).
- For 2027, the breakdown is 21% refundable and 9% non-refundable (total 30%).
- For 2028 and subsequent years, the refundable portion is 20% and the non-refundable portion is 10% (total 30%).
- The annual eligible salary threshold previously capped at $83,333 is now uncapped, but a base exclusion amount (e.g., $18,571 for 2025, indexed) must be deducted from each employee's eligible salary.
- A minimum financing amount of $20,000 is available for the refundable tax credit, allowing companies to access liquidity sooner.
Eligible projects & activities
- Consulting in information technology related to technology, systems development, or electronic business solutions—when directly connected to eligible development or integration activities.
- Development and integration of information systems and technological infrastructures incorporating significant artificial intelligence (AI) functionalities.
- Development of electronic business security and identification services with a significant AI component.
Examples of admissible projects:
$ 61,500
Integrating AI-driven personal finance tools for credit unions
$ 63,000
Developing an AI chatbot for customer support automation
$ 55,500
Automating B2B electronic invoicing with AI document processing
$ 67,400
Implementing AI-powered inventory management for online retailers
$ 60,000
Launching AI-based cybersecurity services for small businesses
$ 67,000
Creating an AI-powered HR platform to streamline talent matching
Eligibility criteria of the Development of E-Business Tax Credit Integrating Artificial Intelligence (CDAEIA) program
- The applicant must be a company with an establishment in Quebec, operating in the information technology (IT) sector.
- The company must not be tax-exempt or a Crown corporation, nor a wholly controlled subsidiary of a Crown corporation.
- The company must obtain annual eligibility attestations from Investissement Québec for itself and for the employees claimed under the credit.
- At least 75% of the company's gross revenue must derive from activities in the IT sector, and at least 50% from specific key sub-sectors within IT, both within the same fiscal year.
- The company must maintain at least six eligible full-time employees throughout the fiscal year to be considered.
Who is eligible?
- Information technology (IT) companies with active operations in Quebec
- Companies developing software (excluding video game publishers, unless specifically covered elsewhere)
- Companies involved in the development or integration of information systems and technological infrastructures
- Companies providing IT consulting services related to electronic business processes integrated with artificial intelligence
- Companies involved in the design and development of video games
Who is not eligible
- Companies exempt from tax for the fiscal year.
- Crown corporations or wholly controlled subsidiaries of such corporations.
- Businesses whose main activities are not in the information technology (IT) sector as defined by specific industry codes.
Eligible expenses
- Salaries paid to eligible employees directly involved in the development and integration of electronic business solutions incorporating significant artificial intelligence functionalities.
Eligible geographic areas
- Companies with an establishment in Quebec.
How to apply to the Development of E-Business Tax Credit Integrating Artificial Intelligence (CDAEIA) program
1
Verify eligibility requirements
- Review the eligibility criteria for both the company and employees
- Ensure compliance with activity, services provided, and minimum employment requirements
2
Collect supporting documents
- Gather required financial and operational documents
- Prepare information on activities, services, and employees
3
Apply for attestations
- Complete the attestation application form for the company on the Investissement Québec website
- Complete attestation applications for each eligible employee
4
Submit attestation applications
- Submit attestation requests before the 15th month after the end of the fiscal year
- If late, justify the delay for discretionary consideration (within 18 months)
- Ensure application completeness as incomplete requests are not processed
5
Receive attestations
- Obtain company and employee attestations from Investissement Québec
6
File the tax credit claim
- Attach the prescribed CDAEIA form from Revenu Québec
- Attach company and employee attestations to corporation tax return
- File the application with Revenu Québec by the later of 18 months after the fiscal year or 3 months after attestations issuance
7
Facilitate site inspection if required
- Cooperate with a possible site visit by Investissement Québec
Additional information
- Investissement Québec may visit company premises during the eligibility period; companies must provide access and necessary information.
- Applications for attestation must be complete; incomplete submissions will not be processed.
- Fees are charged for the analysis of eligibility and review requests by Investissement Québec.
- Incorrect or misleading information may result in penalties ranging from $2,000 to $25,000.
Contact Gouvernement du Québec
1-844-474-6367
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