Some interesting fiscal measures
Québec Budget – March 27 2018
On-the-job training :
- Raising the refundable tax credit rate for on-the-job training of Aboriginal trainees from 24% to 32%.
- Increasing the weekly qualified expenditure limit from $600 to $700.
- The maximum hourly rates respecting the salaries or wages of an eligible trainee and of an eligible supervisor are increased from $18 to $21 and from $30 to $35, respectively.
- Finally, eligible regions will benefit from an enhanced rate from 24% to 32%.
Introduction of a refundable tax credit to encourage qualifying training for workers employed in SMBs
- This refundable tax credit of 30% will enable qualified corporations to receive tax assistance of up to $5 460 a year for each eligible employee who participates in eligible training.
- Eligible training expenditures will be limited to a maximum hourly rate of $35. If an eligible employee is not remunerated on an hourly basis, the employee’s hourly rate will be deemed to correspond to the ratio between the employee’s annualized wages and 2080 hours.
- An eligible employee’s total eligible training periods will be limited to 520 hours for a taxation year or the fiscal period, as applicable, and an eligible employee’s weekly work schedule may not exceed 40 hours for the purpose of calculating the limit.
- This measure is valid after the day of the budget speech and before January 1, 2023.
Broadening the sectors of activity eligible for the tax holiday for large investment projects in Québec ($100 million) to add the development of eligible digital platforms.
- The tax assistance relating to a large investment project may not exceed 15% of the total qualified capital investments relating to the project.