Ontario Business Research Institute Tax Credit (OBRITC)

Q: How much funding can be received?

There is no informations about how much funding can be received.

Q: What is the deadline to apply?

The deadline to apply is not specified.

Q: Is the Ontario Business Research Institute Tax Credit (OBRITC) a grant, loan, or tax credit?

Ontario Business Research Institute Tax Credit (OBRITC) is a Tax Credits

Q: Who are the financial supporters of the Ontario Business Research Institute Tax Credit (OBRITC)?

Ontario Business Research Institute Tax Credit (OBRITC) is funded by Ontario Ministry of Finance, Government of Ontario

Q: Who is eligible for the Ontario Business Research Institute Tax Credit (OBRITC) program?

To be eligible for the Ontario Business Research Institute Tax Credit (OBRITC) program, you must: • The corporation must carry on business in the tax year through a permanent establishment in Ontario. • The corporation must not be exempt from corporation income tax. • The corporation must have entered into an eligible contract with an eligible research institute.

Q: Who can I contact for more information about the Ontario Business Research Institute Tax Credit (OBRITC)?

You can contact Ontario Ministry of Finance.

Q: Where is the Ontario Business Research Institute Tax Credit (OBRITC) available?

The Ontario Business Research Institute Tax Credit (OBRITC) program is available the province of ON.

Q: Are startups eligible for the Ontario Business Research Institute Tax Credit (OBRITC) program?

Yes, startups are eligible to apply for the Ontario Business Research Institute Tax Credit (OBRITC) program.

Last Update: July 22, 2025

ON, Canada

Business tax credit for scientific research in Ontario

At a glance

Eligible Funding

No Condition

Timeline

Open Date : November 14, 2019

Financing Type

Tax Credits

Eligible Industries

Professional, scientific and technical services
Educational services
Health care and social assistance

Funds Providers

Unspecified

Program status

Open

Overview

Claim a 20% refundable tax credit for qualified expenditures on scientific research and experimental development work performed in Ontario under contract with eligible research institutes. Qualified expenditures are capped at $20 million annually. The max

Activities funded

The Ontario Business Research Institute Tax Credit supports projects that involve scientific research and experimental development work performed in partnership with eligible research institutes located in Ontario. The funded activities must be conducted under a contractual agreement that allows the corporation to utilize the results for its business operations in Canada.

Scientific research projects conducted by Ontario universities or community colleges.
Experimental development work carried out in collaboration with hospital research institutes.
Research initiatives with Ontario Centres of Excellence or federal Networks of Centres of Excellence.
Collaborative projects with non-profit organizations designated as eligible research institutes.

Examples of admissible projects:

$ 200,000

Researching sustainable packaging solutions with McMaster University

$ 500,000

Creating a clean energy solution for residential buildings with University of Alberta

$ 400,000

Developing a new remote healthcare monitoring system with Ottawa Hospital Research Institute

$ 300,000

Developing an AI-driven financial analysis system for cooperative use

$ 360,000

Creating a smart urban farming system in partnership with Ryerson University

$ 240,000

Developing a biodegradable textile with University of Waterloo for fashion industry

Eligibility

Eligibility for corporations to claim this tax credit is based on specific business criteria and contractual relationships.

The corporation must carry on business in the tax year through a permanent establishment in Ontario.
The corporation must not be exempt from corporation income tax.
The corporation must have entered into an eligible contract with an eligible research institute.
The corporation must not be connected to the eligible research institute as defined by the criteria of share ownership, partnership, or related rules.

Who is eligible?

Eligible corporations for the Ontario business research institute tax credit include those that carry on business in Ontario through a permanent establishment, are subject to corporation income tax, have eligible contracts with approved research institutes, and are not connected to these institutes as per specific criteria.

Eligible expenses

This tax credit is available for scientific research and experimental development projects performed under contract by eligible research institutes in Ontario. The activities supported are aimed at stimulating innovation and research within corporations operating in the region.

Scientific research conducted by eligible Ontario universities or community colleges on behalf of a corporation.
Experimental development projects carried out by Ontario hospital research institutes.
Collaborative research facilitated by the Ontario Centres of Excellence or federal Network of Centres of Excellence operating in Ontario.
Scientific exploration and studies by designated non-profit research organizations in Ontario.

Eligible geographic areas

This tax credit is available to corporations that conduct business through a permanent establishment in Ontario. The eligible geographical area is specific to the province of Ontario, Canada.

Businesses operating within the province of Ontario.

Selection criteria

There are evaluation and selection criteria for this grant.

The corporation must carry on business in Ontario through a permanent establishment
The corporation must not be exempt from corporation income tax
The corporation must enter into an eligible contract with an eligible research institute
The corporation must not be connected to the eligible research institute
The eligible research institute must meet the criteria specified
The contract must meet certain requirements and be entered into after a specified date
The expenditure must qualify as a qualified expenditure with an eligible research institute

How to apply

Review Eligibility Criteria

Ensure your corporation meets the eligibility requirements, including having a permanent establishment in Ontario and not being connected to the eligible research institute.
Confirm the scientific research and experimental development is performed in Ontario under a contract with an eligible research institute.

Enter into an Eligible Contract

Negotiate and finalize an eligible contract with an eligible research institute for scientific research and experimental development services.
Ensure the contract complies with all stipulated conditions such as being entitled to exploit the research results.

Prepare Documentation

Collect all relevant financial documentation related to the qualified expenditures.
Ensure expenses are only payments in money, not in kind, and also qualify for the federal investment tax credit.

Complete Schedules

Download and complete Schedule 568, Ontario Business-Research Institute Tax Credit.
For each eligible contract, complete Schedule 569, Ontario Business-Research Institute Tax Credit Contract Information.

File T2 Corporation Income Tax Return

Submit the completed Schedules 568 and 569 along with your T2 Corporation Income Tax Return to the Canada Revenue Agency.
Ensure timely submission before the tax filing deadline.

Confirmation of Claim

Retain copies of all submitted documents for your records.
Await confirmation from the Canada Revenue Agency regarding the processing of your tax credit claim.

Additional information

Here are additional relevant details for this tax credit:

There is a cap on the annual qualified expenditures eligible for the credit, which is set at $20 million, meaning no more than this amount can be claimed in a year.
The maximum annual refundable tax credit that can be claimed is $4 million.
While the tax credit is refundable, it applies only to corporations that are not exempt from corporate income tax.
Eligible contracts for this tax credit must have been entered into after May 6, 1997.

Documents and links

Ontario Business Research Institute Tax Credit (OBRITC)

Apply to this program

Frequently Asked Questions about the Ontario Business Research Institute Tax Credit (OBRITC) Program

Here are answers to the most common questions about the Ontario Business Research Institute Tax Credit (OBRITC). This section explains what the program is, how much funding is available, eligibility requirements, application deadlines, and other important details to help you determine if this grant is right for your business.