SR&ED, Cleantech and Digital Media Tax Credits

Digital Media Tax Credit Consulting

The Simple Way to Get the Biggest Digital Media Tax Credit Refund

The Interactive Digital Media Tax Credit (IDMTC) program is a provincial government initiative designed to support the creation and production of interactive digital media products. It provides refundable tax credits to companies developing eligible digital media projects, such as video games, educational software, and mobile applications. The program aims to stimulate growth in the digital media industry, encourage innovation, and create high-tech jobs.

Each province offers its own version of the IDMTC with specific criteria, rates, and application processes. For example, Ontario’s Interactive Digital Media Tax Credit (OIDMTC) provides a refundable tax credit of up to 40% on eligible labor, marketing, and distribution expenses. Similarly, British Columbia offers a tax credit of up to 17.5% on qualifying expenditures through its Interactive Digital Media Tax Credit program.

To qualify, projects must be primarily intended to educate, inform, or entertain and must be interactive. Companies must apply for certification and provide detailed documentation of expenses to claim the credit.

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Incredibly Simple

Streamlined Process: Reduced complexity and time required to complete and submit applications.

User-Friendly Navigation: We understand the requirements, and accurately input necessary information, reducing errors.

Clear Guidance and Support: Ensuring you receive all eligible credits without unnecessary delays or frustrations

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Expertise

Regulatory Compliance: We stay updated with the latest changes in tax laws to provide accurate and compliant claims, saving you time and stress.

Maximize Claim Leveraging our in-depth knowledge and experience, we identify all eligible IDMTC, ensuring that your organization receives the maximum possible financial benefit.

Streamlined Process: Our tailored solutions and dedicated support reduce administrative burdens, allowing you to focus on your core operations while we handle the intricacies of your IDMTC claim.

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Add Grants and SR&ED

Maximize Government Funding: We know how to bring IDMTC, SR&ED and grants together to provide your company with the maximum non-dilutive funding.

Cost Allocation To get the most out of government programs, rely on us to allocate your expenses to the program which brings leads to the greatest benefit.

Full Service We make certain you are compliant with your tax filings, CRA and local government agencies.

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Integrity

Confidentiality: Underpinning everything we do is security and confidentiality.  We employ state of the art cybersecurity, compliance, data storage, and data security.  Your information is safe with us.

Comprehensive service: with many of claims filed, we understand what it takes to get a IDMTC claim across the finish line to maximize your benefit.

Tax experts: Combined with our technical and financial experts, we have a team that understand IDMTC in each province better than anyone.

Digital Media Frequently Asked Questions

Most Canadian provinces offer some form of Digital Media Tax Credits, but the specifics of the program, including eligibility and benefits, can vary significantly. Some provinces might not have a dedicated digital media tax credit but could offer other forms of incentives for digital development.

Typically, ongoing maintenance, support, and content updates are not eligible for Digital Media Tax Credits, as the credits are generally aimed at the initial development phase of digital media products.

The claimable amount through these tax credits varies by province but often ranges from 20% to 40% of eligible labor costs associated with the production of digital media content. Some provinces may offer additional incentives for specific types of content or for small businesses.

A Digital Media Tax Credit is a fiscal incentive offered by various Canadian provinces to encourage the development of digital interactive media products within the region. These tax credits typically provide a rebate or reduction in provincial taxes, based primarily on the labor expenses associated with the production of eligible digital media projects such as video games, educational software, or other interactive content.

Eligible labor costs are calculated based on the salaries and wages paid to employees who are directly involved in the development of the eligible digital media project. This includes programmers, designers, and content developers. The calculation excludes costs related to administration, marketing, or distribution.

Yes, the deadline for applying for Digital Media Tax Credits varies by province but generally aligns with fiscal or tax reporting deadlines. It is important to apply within the deadlines set by the provincial authority managing the tax credit program, typically requiring applications to be submitted within 18 months of the fiscal year-end in which the eligible expenses were incurred.

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