How much funding can be received?

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

What is the deadline to apply?

The deadline to apply is not specified.

Tax holiday for a new business created to commercialize intellectual property

Q: What are Tax holiday for a new business created to commercialize intellectual property's eligibility criterias?

New companies founded in Canada between March 19, 2009, and April 1, 2014 Primarily commercializes intellectual property developed in Quebec's public research sector Must begin commercialization activities within 12 months of incorporation

Last Update: June 5, 2025

QC, Canada

Tax credit for commercialization of intellectual property (IP) in Quebec

Tax holiday for a new business created to commercialize intellectual property at a glance

Eligible Funding

No Condition

Timeline

Open Date : November 14, 2019

Financing Type

Tax Credits

Eligible Industries

Manufacturing
Information and cultural industries
Educational services

Grant Providers

Ministère de l'économie, de l'innovation et de l'énergie du Québec (MEIE)
Gouvernement du Québec

Status

Open

Overview of the Tax holiday for a new business created to commercialize intellectual property program

If you create a new business by commercializing intellectual property stemming from a university or public research center, you could be eligible for a tax holiday for up to 10 years.

Financing terms and conditions

Eligible companies can benefit from a tax holiday on Quebec income tax derived from the commercializing business for up to ten years from the date of incorporation.

Eligible projects & activities

Launching new businesses to commercialize intellectual property derived from research conducted in Quebec's public sector.
Manufacturing and sales of goods whose value or essential component is based on eligible intellectual property.
Granting licenses for the use of eligible computer software developed through public sector research.

Examples of admissible projects:

$ 1,080,000

Introducing blockchain-based financial services leveraging research university students

$ 1,200,000

Launching eco-friendly packaging solutions using university-developed biodegradable materials

$ 650,000

Developing an AI-based health app

$ 900,000

Commercializing smart home energy solutions based on university-developed IoT technology

$ 1,600,000

Developing a new pharmaceutical drug based on university level research

$ 750,000

Creating a virtual reality training program for medical students

Eligibility criteria of the Tax holiday for a new business created to commercialize intellectual property program

The applicant must be a company established in Canada between March 19, 2009 and April 1, 2014, dedicated to commercializing intellectual property derived from research conducted in Quebec's public sector.
The company must begin operating its commercialization business within twelve months of incorporation.
The company’s income must come almost entirely from one or more eligible commercialization businesses it actively operates.
The intellectual property being commercialized must have been developed in an eligible Quebec public institute and meet strict ownership and disclosure requirements.
The company must not result from a merger or acquisition, nor have previously operated all or part of the business from another entity, except under specific conditions.

Who is eligible?

Companies incorporated in Canada between March 19, 2009, and April 1, 2014, dedicated to the commercialization of intellectual property derived from research conducted within the Quebec public sector
Companies engaged in the manufacturing and sale of goods whose value is primarily derived from eligible intellectual property
Companies engaged in the manufacturing and sale of goods where an essential element is eligible intellectual property
Companies involved in licensing eligible computer software intellectual property

Who is not eligible

Companies formed as a result of a merger or unification of multiple companies.
Businesses that have operated, in full or in part, a commercial enterprise previously run by another entity for more than 90 days.
Companies that have sold almost all the assets used in their eligible commercialization business.
Companies that have been beneficiaries of a trust, except for a mutual fund trust.
Businesses that have been part of a joint venture or partnership, unless all members are recognized as eligible institutes.

Eligible geographic areas

Companies constituted in Canada and commercializing intellectual property derived from public research conducted in Quebec.

How to apply to the Tax holiday for a new business created to commercialize intellectual property program

Fill out the application form

Complete the initial application form.

Prepare the necessary documents

Obtain the completed Form 2 from the institute.
Attach a copy of the company's certificate of incorporation.
Include the company's financial statements.
Prepare the activity report.
Provide a copy of the document from the Canadian Intellectual Property Office (certificate of registration, patent, or certificate of registration).
Include a copy of the technology transfer agreement, either the licensing agreement or the assignment of intellectual property rights.

Transmit the request

Send the form and the attached documents in a single submission to the email address mesures.fiscales.RD@economie.gouv.qc.ca.

Additional information

The attestation of eligibility is valid for a maximum of three years, with the initial period starting from the date the company begins to operate the eligible commercialization business.
Renewals of the eligibility attestation must be requested via email, and the same eligibility criteria apply for renewals.
The application process is free of charge.
All application documents must be submitted together in a single dispatch.