Tax Holiday for Foreign Experts
QC, Canada
Tax holiday for foreign expert salaries in Quebec
grant_single_labels|summary
grant_single|eligibleFinancing
- grant_single|noCondition
grant_single|deadlines
- grant_single|openingDateNovember 14, 2019
grant_single|financingType
Tax Credits
grant_single|eligibleIndustries
- Professional, scientific and technical services
grant_single|grantors
- Ministère de l'économie, de l'innovation et de l'énergie du Québec (MEIE)
- Gouvernement du Québec
grant_single|status
grant_card_status|open
grant_single_labels|preview
Attract recognized foreign experts who are highly qualified in the implementation of innovation projects to work in Quebec. They will receive a tax holiday ranging from 100% of taxable income in the first year, to 25% in the fifth year.
grant_single_labels|projects
- Management of innovation resulting from RS-DE projects
- Commercialization and marketing of results from RS-DE projects
- Transfer of advanced technologies resulting from RS-DE projects
- Financing of RS-DE activities
grant_single|admissibleProjectsExample
$200,000
Toronto
Finance R&D activities to develop a new medical diagnostic tool
$120,000
Montreal
Implement an advanced AI system to enhance smart city services
$160,000
Vancouver
Transfer advanced drone technology for agricultural monitoring
$96,000
Calgary
Commercialize a human-centred design approach for healthcare services
$64,000
Ottawa
Develop a marketing strategy to commercialize a new green technology product
$144,000
Winnipeg
Implement advanced cybersecurity solutions for SMEs
grant_single_labels|admissibility
The eligibility criteria for the grant "Congé fiscal pour experts étrangers" in English are as follows:
- The grant is aimed at companies located in Quebec engaged in research and experimental development (R&D) and have signed an employment contract with a foreign expert.
- The foreign expert must hold a university degree recognized in Quebec in a field relevant to the valorization of R&D results, such as pure and applied sciences, management, finance, or marketing, or equivalent knowledge.
- The expert should not reside in Quebec or Canada immediately before starting employment with the eligible employer.
- The expert must perform functions related to the valorization of R&D results within the Quebec company, predominantly and continuously.
The eligible functions include:
- Managing innovation resulting from R&D projects.
- Marketing and commercializing the results of R&D projects.
- Transferring advanced technologies resulting from R&D projects.
- Financing R&D activities.
Financial assistance provided by this grant includes a provincial income tax holiday for the foreign expert once in employment in Quebec. The tax holiday can last up to 60 consecutive months from the start of employment, with the following exemption rates:
- 100% for the first 24 months.
- 75% for months 25 to 36.
- 50% for months 37 to 48.
- 25% for months 49 to 60.
For more information and application forms, individuals can contact the Direction des transferts de technologies – Congés fiscaux at the Ministry of Economy, Innovation, and Energy in Quebec.
grant_eligibility_criteria|who_can_apply
- Companies located in Quebec
- Companies conducting research and experimental development (R&D)
- Companies that have signed an employment contract with a foreign expert who holds a recognized university degree in a field appropriate for the valorization of R&D results
- Companies where the foreign expert does not reside in Quebec or Canada immediately before starting employment
- Companies where the expert is involved in the management of innovation, commercialization, technology transfer, or financing of R&D activities
grant_eligibility_criteria|eligible_expenses
Eligible expenses for this grant:
- Management of innovation resulting from R&D projects
- Commercialization and marketing of R&D project results
- Transfer of advanced technologies resulting from R&D projects
- Financing of R&D activities
grant_single_labels|criteria
- The grant is awarded based on the specific criteria outlined in the program guidelines.
- Evaluation criteria may include the expertise and qualifications of the foreign expert, the relevance of their role in the research and development activities, the potential impact on innovation within the company, and the quality of the proposed project or activities.
- Selection criteria may also consider the alignment of the expert's responsibilities with the goals of the research and development projects, the ability of the expert to contribute to the commercialization of research outcomes, and the overall potential for knowledge transfer and technology advancement.
grant_single_labels|otherInfo
Sure, here are some additional points to consider for applicants applying for the Congé fiscal pour experts étrangers program:
- Applicants must ensure that the expert foreign worker holds a recognized university degree in a field relevant to the valorization of research and experimental development results.
- The expert foreign worker must not have been a resident of Quebec or Canada immediately before starting employment with the eligible employer.
- The functions performed by the expert foreign worker within the Quebec-based company must be primarily related to the valorization of research and experimental development results.
- The program offers a progressive tax exemption rate ranging from 100% for the first 24 months of employment to 25% for the last 12 months, totaling a maximum of 60 months of tax exemption.
- Applicants should consult with a Ministry advisor for specific details, eligibility requirements, and application procedures.
These points should provide further insight for applicants interested in benefiting from this tax incentive program.
Apply to this program
Grant Summary: Certificate for Foreign Experts
This fiscal measure aims to ease the recruitment of foreign experts who enhance scientific research and experimental development (SR&ED) results within private enterprises in Quebec. The foreign expert tax holiday program allows targeted professionals to receive more competitive net incomes.
Detailed Explanation of the Certificate for Foreign Experts Grant
Quebec offers a specialized incentive called the Certificate for Foreign Experts designed to attract and retain highly skilled international professionals who can contribute significantly to the province's scientific research and experimental development (SR&ED) initiatives. This comprehensive guide provides an in-depth look at the objectives, eligibility criteria, application process, and benefits of this important fiscal measure.
Objectives and Purpose
The primary objective of the Certificate for Foreign Experts is to make Quebec an attractive destination for distinguished professionals in science, technology, engineering, and related fields. By offering tax holidays, the program aims to facilitate the recruitment of foreign experts, thereby fostering innovation and boosting economic growth in the region. This program is essential as it allows Quebec-based companies involved in SR&ED to access a global talent pool, thereby enhancing their competitiveness and potential for groundbreaking innovations.
Eligibility Requirements
Eligible Companies
To qualify for applying for the Certificate for Foreign Experts, a company must meet the following conditions:
- Be located in Quebec.
- Be engaged in scientific research and experimental development (SR&ED).
- Have a signed employment contract with a foreign expert.
Eligible Foreign Experts
A foreign expert qualifies if they meet these criteria:
- Specialization in a field relevant to the valuation of SR&ED results.
- Possession of a recognized university degree in Pure and Applied Sciences or an equivalent qualification.
- Necessary skills to perform activities related to SR&ED projects assigned by the employer.
- Employment predominantly in activities centered on SR&ED at a Quebec-based enterprise.
Projects or Activities Covered
Eligible roles and activities include, but are not limited to:
- Managing innovations emerging from SR&ED projects.
- Commercializing and marketing SR&ED project results.
- Transferring advanced technologies from SR&ED projects.
- Funding SR&ED initiatives.
Application Procedure
Applying for the Certificate for Foreign Experts involves several steps:
Step 1: Preparing Required Documents
Gather the following documents:
- A detailed and signed CV of the candidate.
- A copy of the signed employment contract.
- If it is a first-time application, a copy of the company's certificate of incorporation.
- One of the following:
- A copy of the candidate's diplomas from a Quebec university.
- Copies of post-secondary diplomas with an official transcript and a certified copy of the most relevant diploma.
- A comparative evaluation of studies from outside Quebec.
Step 2: Filling Out the Application Form
The application form can be downloaded and filled in with the required details. The form should then be signed and dated.
Step 3: Submitting the Application
Email the completed application form and all required documents in a single submission to conges.fiscaux@economie.gouv.qc.ca.
Annual Renewal
The Certificate for Foreign Experts must be renewed annually. To do so, submit the annual renewal application form along with any necessary documentation.
Cost
There is no cost associated with applying for or renewing the Certificate for Foreign Experts.
Advantages of the Certificate
Experts holding the certificate can avail significant tax benefits, effectively reducing the net tax burden for up to five years, thereby making Quebec a more attractive destination for top global talent.
Conclusion
The Certificate for Foreign Experts is an invaluable grant for Quebec-based companies aiming to enhance their SR&ED projects with exceptional global talent. By understanding the objectives, eligibility requirements, and application process, companies can successfully navigate the system to secure these important fiscal benefits.
