Small Business Investor Tax Credit Program

• Application for registration on a form provided by the Minister
• Certified copy of the instrument of incorporation
• Copy of the corporation’s investment plan
• Most recent financial statements of the corporation and its associated corporations, reviewed by a licensed or registered member of an accounting association regulated under a private Act of the Province
• Certificate in writing signed by all the directors of the corporation certifying that the application information is complete and accurate

Who is eligible?

• Corporations that intend to make a specified issue of shares or convertible debentures and meet the criteria set out in section 9.
• Corporations or associations that intend to make a specified issue of shares and meet the criteria set out in section 13.5.

Who is not eligible

• Individuals who are not residents of New Brunswick or are under 19 years of age.
• Corporations or trusts without a permanent establishment in New Brunswick.

Ineligible Costs and Activities

• Lending
• Purchasing the shares of any other person
• Investing outside New Brunswick

Eligible geographic areas

This program's eligibility with respect to geographical areas is inherently tied to entities operating or residing within the province of New Brunswick. The focus is on fostering economic development within its communities.

• Businesses that are incorporated or registered to carry on business in New Brunswick.
• Individuals who are residents of New Brunswick.
• Community Economic Development Corporations or Associations located in New Brunswick.

The evaluation and selection of projects for the Small Business Investor Tax Credit Program focus on the adequacy of the investment or community economic development plans and the compliance of the submission with statutory requirements. However, no specific point scores are allocated in the provided information.

• Assessment of the investment plan or community economic development plan's alignment with the spirit and intent of the Small Business Investor Tax Credit Act and Regulations.
• Evaluation of how the proposed use of capital will benefit the operations within the defined community or corporation located in New Brunswick.
• Verification of eligibility criteria for the applicant corporation or community economic development corporation or association, including incorporation, registration, and operational criteria.
• Compliance with the mandated use of funds, such as restrictions on lending, purchasing shares, or investing outside New Brunswick.
• Ensuring the issuance of newly issued, fully paid shares without inclusion of replacement shares.
• Compliance with shareholding and capital requirements, such as minimum investment amounts and holding periods.

• Deliver the application to the Minister on a form provided by the Minister.

• The Minister may register a corporation, with any conditions considered appropriate, if the statutory criteria are met.
• The Minister shall not register a corporation unless satisfied that the required capital will be raised, eligible shares will be issued to the eligible investors named in the investment plan, and the deductible amounts under section 61.1 of the New Brunswick Income Tax Act will not exceed the prescribed amount.
• If the Minister registers the corporation, a certificate of registration must be issued and the corporation is deemed registered as of the date on the certificate.

• Any corporation carrying on business in a strategic sector must indicate the NAICS code assigned to that sector in its application for registration.