Manitoba Research and Development Tax Credit
MN, Canada
Tax credit for R&D in Manitoba
grant_single_labels|summary
grant_single|eligibleFinancing
- grant_single|projectCostPercent
grant_single|deadlines
- grant_single|openingDateJanuary 01, 2024
- grant_single|closingDateDecember 31, 2024
grant_single|financingType
Tax Credits
grant_single|eligibleIndustries
- Construction
- Manufacturing
- Information and cultural industries
- Professional, scientific and technical services
- Educational services
- Health care and social assistance
- Arts, entertainment and recreation
grant_single|grantors
- Government of Manitoba
grant_single|status
grant_card_status|open
grant_single_labels|preview
Tax credit of 15% for research and experimental development projects in Manitoba.
grant_single_labels|terms_and_conditions
This tax credit supports corporations conducting scientific research and experimental development activities in Manitoba. It offers specific financial benefits to corporations undertaking eligible R&D projects.
- Tax credit applicable against Manitoba corporate income tax payable in the year it is earned.
- Unused credits can be carried forward for up to 20 years and carried back for up to three years.
- Refundable credit for eligible expenditures incurred after 2009 for corporations with a permanent establishment in Manitoba.
- Tax credit rate is 15% for expenditures made after April 11, 2017, and was 20% for those made before April 12, 2017.
- Refundability extended to a portion of in-house R&D expenditures beginning in 2011, with increased percentage in 2012.
- Administered by the Canada Revenue Agency on behalf of Manitoba.
grant_single_labels|projects
The Manitoba Research and Development Tax Credit program is designed to support scientific research and experimental development activities conducted within the province. This initiative facilitates advancements in technology and innovation across various sectors.
- Conducting scientific research and experimental development projects in Manitoba.
- Collaborating with qualifying research institutes on eligible contracts within Manitoba.
- Undertaking in-house R&D projects that contribute to technological advancements.
grant_single|admissibleProjectsExample
$ 42,000
Creating a licensed child care center in a workplace
$ 27,000
Producing an educational video series in the film studio
$ 90,000
Acquiring advanced machinery for new processing lines in a manufacturing plant
$ 22,500
Hiring co-op students for a research project in biotechnology
$ 10,500
Publishing a new book series focusing on environmental sustainability
$ 26,250
Installing a solar thermal energy system in a co-op housing complex
grant_single_labels|admissibility
Specific eligibility criteria apply to the companies seeking this grant.
- The company must be a taxable corporation or an exempt corporate entity like a not-for-profit agency, Manitoba Crown entity, municipality, university, school, or hospital.
- For certain tax credits, the company cannot be a Crown corporation or other provincial government entity.
- The company must have a permanent establishment or be resident in Manitoba.
grant_eligibility_criteria|who_can_apply
The Manitoba Corporate Tax Credits provide financial incentives for businesses and industries across various sectors, aiming to stimulate economic activities, enhance innovation, and encourage sustainable development in the province.
- Manufacturing Investment Tax Credit targets businesses acquiring qualified equipment for manufacturing or processing.
- Film and Video Production Tax Credit applies to production companies undertaking eligible film projects that involve Manitoba residents.
- Book Publishing Tax Credit supports publishers primarily engaged in book publishing with a permanent establishment in Manitoba.
- Cultural Industries Printing Tax Credit is for Manitoba printers with a focus on book printing divisions.
- Research and Development Tax Credit benefits corporations conducting scientific research and development in Manitoba.
- Paid Work Experience Tax Credits support employers providing work experience through co-op and apprenticeship programs.
- Green Energy Equipment Manufacturers are eligible for tax credits on purchases related to renewable energy equipment.
- Child Care Centre Development Tax Credit for corporations creating new licensed child care spaces.
grant_eligibility_criteria|eligible_expenses
This grant offers various tax credits to support different sectors within Manitoba. Eligible projects and activities span across manufacturing, film production, book publishing, research, and more, facilitating economic growth and innovation.
- The acquisition of qualified plant, machinery, and equipment for first-time use in manufacturing or processing in Manitoba.
- Film and video productions based on eligible salaries paid to Manitoba residents and qualifying non-resident employees.
- Book publishing activities, including editing, design, project management, and artwork associated with eligible books.
- Scientific research and experimental development conducted in Manitoba.
- Paid work experiences involving hiring of trainee employees and recent graduates, including high school vocational and co-operative education students.
- Production and purchase of machinery and equipment used to generate renewable energy in Manitoba.
- Creation of licensed child care centres by corporations not primarily engaged in child care services.
grant_eligibility_criteria|zone
This grant is available to companies with a permanent establishment in Manitoba as defined by the funding body. Eligible corporations must conduct their research and development activities specifically in Manitoba.
- Corporations with a permanent establishment in Manitoba.
- Businesses conducting research and development in Manitoba.
grant_single_labels|criteria
The Evaluation and Selection Criteria for the Manufacturing Investment Tax Credit in Manitoba are:
- Evidence of acquisition of qualified plant, machinery, and equipment for first-time use in manufacturing or processing in Manitoba
- Demonstration of meeting eligibility requirements as per program guidelines
- Compliance with all submission deadlines and documentation requirements
- Financial viability and sustainability of the business applying for the tax credit
- Applicant's alignment with the objectives of the program and contribution to economic growth
grant_single_labels|register
Here are the steps to apply for this grant:
- Step 1: Determine Eligibility
- Review the eligibility criteria specific to the tax credit you are applying for, whether it is the Manufacturing Investment Tax Credit, Film and Video Production Tax Credit, or another option listed.
- Contact the relevant department or office for clarification if needed.
- Step 2: Compile Required Documentation
- Gather all necessary documentation that supports your application, including proof of eligible expenditures, details of qualified projects, and any other prerequisites stated in the specific tax credit options.
- Prepare financial statements and tax documents which may be required for submission.
- Step 3: Complete Tax Credit Application Form
- Fill out the official tax credit application form provided by the Manitoba Tax Assistance Office or the relevant body handling the specific credit application.
- Ensure that all sections of the application form are accurately completed to avoid delays in processing.
- Step 4: Submit Application
- Send the completed application form and required documentation to the Manitoba Tax Assistance Office, unless otherwise directed by the program guidelines.
- Ensure submission is before any stated deadlines to qualify for the credit in the intended fiscal year.
- Step 5: Confirmation and Follow Up
- Await confirmation of receipt from the Tax Assistance Office or administering body.
- Retain any confirmation correspondence for your records and future reference.
- Contact the relevant office if no confirmation is received within the specified timeframe to ensure your application is being processed.
grant_single_labels|otherInfo
Here is additional relevant information regarding Manitoba's Corporate Tax Credits:
- Certain tax credits, like the Film and Video Production Tax Credit, allow producers to choose between a labour-based credit or a production-based credit, offering flexible options depending on the nature of the production costs.
- Many tax credits are administered in collaboration with the Canada Revenue Agency, ensuring a streamlined process for applicants who may also be eligible for federal incentives.
- Some credits, such as the Research and Development Tax Credit, offer varying levels of refundability based on when the expenditures were incurred, allowing for greater flexibility in financial planning.
- Tax credits such as the Cultural Industries Printing Tax Credit have eligibility criteria that extend beyond Manitoba, allowing publishers from anywhere in Canada to participate, provided certain conditions are met.
- Programs like the Green Energy Equipment Tax Credit are part of broader initiatives to promote sustainability and renewable energy development in Manitoba.
grant_single_labels|contact
artsbranch@gov.mb.ca
204-948-2115
Apply to this program
Optimizing Regional Economic Growth with Corporate Tax Credits
The Province of Manitoba offers a variety of corporate tax credits aimed at stimulating regional economic development by incentivizing investment in key sectors such as manufacturing, film production, and research and development. These credits are designed to promote job creation, innovation, and sustainable practices across various industries.
Detailed Insight into Manitoba's Corporate Tax Credit Programs
Manitoba's corporate tax credits are structured to enhance economic growth by offering financial incentives to businesses investing in the province. The Manufacturing Investment Tax Credit, for example, provides an eight per cent tax credit for businesses that acquire new plant, machinery, and equipment for use in manufacturing or processing. This not only aids in modernizing Manitoba’s industrial capabilities but also supports the local economy by creating new jobs and attracting investment from both national and international firms. These credits have a refundability structure that ensures businesses can benefit even if they do not have a large tax liability, thus encouraging continuous reinvestment into the province’s manufacturing sector.
The Film and Video Production Tax Credit is another pivotal program, designed to bolster the local film industry by offering a refundable tax credit calculated based on eligible salaries. Productions can benefit from a basic 45% credit rate, which can increase to a maximum of 65% when combined with additional bonuses tailored to frequent filming, local production credentials, and rural or northern locations. This initiative not only captures economic value through direct investment but also through increased employment opportunities and the promotion of Manitoba as a competitive filming destination.
In the realm of research and development, Manitoba provides a 15% tax credit on eligible R&D expenditures, bolstering innovation in scientific study and experimental development. This support is crucial for fostering an environment where knowledge-based industries can thrive, ensuring Manitoba holds a competitive edge in technological advancements. Notably, this credit extends to both corporate and in-house R&D activities, which significantly widens its applicability across various sectors, and thus driving extensive innovation and development.
Additionally, the Green Energy Equipment Tax Credit reflects Manitoba’s commitment to sustainable growth, providing credits up to 15% on eligible equipment used to generate renewable energy. This credit not only reduces the carbon footprint of business operations in Manitoba but also positions the province as a leader in the transition towards sustainable and renewable energy solutions.
To further support workforce development, Manitoba's Paid Work Experience Tax Credits promote the hiring of students and recent graduates. Through this program, employers can claim credits on a substantial portion of wages paid, ensuring that young professionals gain valuable experience while contributing to economic productivity. This initiative is key for integrating emerging talent into the workforce and meets the growing demand for skilled labor.
Overall, Manitoba's corporate tax credit programs are instrumental in driving economic growth, supporting innovation, and ensuring that businesses have the resources needed to expand and thrive. These programs not only boost the province's economic standing but also pave the way for sustainable and innovative industry practices that align with the global economic trends and environmental responsibilities. By participating in these tax credit opportunities, businesses contribute to a dynamic, competitive, and economically robust Manitoba.
