Canada’s Production Advantage

Explore regional incentives, major productions, and why Canada continues to lead in global production volume.

Canada incentives

Film & TV Tax Credit Cheat Sheet

Comprehensive breakdown of provincial and federal incentive programs for service productions in Canada. Federal PSTC (16% on net Canadian labour) stacks with all provincial programs. Expand each province for detailed program rules, bonuses, caps, and application requirements.

Federal (Canada-wide)

PSTC
Base Rate
16% on qualified Canadian labour
Type
Labour (net of provincial assistance)
Key Benefit
Stacks with all provincial programs
The federal Production Services Tax Credit (PSTC) is available nationwide and stacks with every provincial program. Labour costs must be reduced by provincial assistance attributable to labour.

Program Details

Base Rate
16% of qualified Canadian labour (net of provincial 'assistance')
Spend Type
Labour only
Eligibility
Labour must be for services rendered in Canada; stacks with provincial programs

Application & Compliance

Administration
CAVCO certificate + claim on CRA T2 return (Schedule 411/427)
Forms Required
CRA Form T2SCH411 / T2SCH427
Caps / Minimums
No per-project cap federally
Ask about Federal PSTC CAVCO →

British Columbia

(BC)
Base Rate
36% PSTC (effective 2025)
Type
Labour + DAVE bonuses
Effective Combined
ATL/BTL ~46.2% with Federal
BC offers one of the highest base rates in Canada at 36% on labour, plus substantial bonuses for regional shooting, distant locations, and digital/VFX work (DAVE). Vancouver remains a global production hub.

Program Details

Base Rate
36% PSTC (for productions starting Jan 1, 2025+)
Spend Type
Labour
Bonuses
+6% Regional (work outside Lower Mainland/Capital) • +6% Distant Location (stacks with Regional) • +16% DAVE (VFX/Animation/Post) • +2% Major (budgets >$200M)

Key Nuances

Regional Rules
Regional and distant-location bonuses apply where work occurs outside Lower Mainland/Capital per Creative BC rules
DAVE Application
DAVE bonus applies to qualifying post/VFX labour regardless of where principal photography occurred in BC

Application & Compliance

Administration
Creative BC certificate (Eligibility + Completion) + CRA T1196 with T2
Minimums
Film $1M • TV ≥30min $200k per episode • TV <30min $100k per episode
Timelines
Pre-certification required ≤120 days after first accredited labour; application processing ~≤6 months
Caps
No per-project cap
Ask about BC eligibility Creative BC →

Ontario

(ON)
Base Rate
21.5% OPSTC
Type
Hybrid (Labour + Services + Property)
Effective Combined
ATL/BTL ~34.1% with Federal
Toronto/GTA is Canada's largest production hub with deep crew base, world-class stages, and extensive post/VFX capacity. OPSTC is a hybrid program covering labour, services, and tangible property.

Program Details

Base Rate
21.5% of Qualifying Production Expenditures (QPE)
Spend Type
Hybrid: Ontario labour + eligible services + tangible property used in ON
Bonuses
+18% DAVE on qualifying ON digital/animation/VFX labour

Key Nuances

Labour Requirement
Ontario labour must be ≥25% of total QPE
Property Rental Cap
Location real-property rental capped at 5% of QPE
Eligible Period
Expenditures must be after final script through end of post-production
Screen Credit
Ontario screen credit required
Federal Stack
Stacks with federal PSTC (16% calculated on net labour after provincial assistance)

Application & Compliance

Administration
Ontario Creates Certificate of Eligibility + CRA T2 (Schedule T2SCH558)
Minimums
Film $1M • TV ≥30min $200k per episode • TV <30min $100k per episode
Timing
Application during production (from principal/key animation) or post-wrap
Caps
No per-project or annual corporate cap
Exclusions
Ineligible if OFTTC (Ontario Film & TV Tax Credit) claimed for same production
Ask about ON eligibility Ontario Creates →

Québec

(QC)
Base Rate
20% on QC all-spend
Type
All-Spend (goods/services)
Effective Combined
ATL/BTL 35% + 16% PSTC (net)
Montréal is a major production hub with competitive labour rates and robust post/VFX infrastructure. QC offers an all-spend credit plus substantial bonuses for VFX/animation and virtual production.

Program Details

Base Rate
20% of eligible all-spend (goods/services acquired in QC)
Spend Type
All-Spend (goods and services in Québec)
Bonuses
+16% bonus on specified VFX/animation labour • +16% bonus on eligible set/virtual-production shooting (if applicable)

Key Nuances

Bonus Application
Bonuses apply to specified labour bases; robust documentation required via SODEC/Investissement Québec
Labour Base
QC resident salaries/wages/remuneration; some pre-production may qualify

Application & Compliance

Administration
SODEC attestation + Investissement Québec administration; corporate claim
Caps / Minimums
No per-project cap publicly stated; follow program rules for eligibility
Ask about QC eligibility SODEC →

Alberta

(AB)
Base Rate
22% or 30% (stream based)
Type
All-Spend (AB costs)
Effective Combined
ATL/BTL ~34.5% with Federal
Alberta offers a refundable all-spend credit with two tiers and substantial rural/remote uplifts. Queue-based intake with minimum AB spend requirements.

Program Details

Base Rate
22% or 30% of eligible Alberta production costs (stream based)
Spend Type
All-Spend (eligible AB costs)
Bonuses
+8% labour uplift where ≥75% AB principal days are rural/remote • +8% spend uplift (same threshold)

Key Nuances

Structure
Refundable credit; queue-based intake system
Requirements
Minimum AB spend & points tests; non-resident labour rules apply

Application & Compliance

Administration
Alberta Jobs, Economy & Trade – FTTC certificate; claim via corporate return
Minimums
$500k minimum spend (before GST); CPA audit required
Timing
Online portal application ≤120 days after start; principal photography ≤6 months after Authorization Letter
Caps
Per-project & annual program caps; minimum AB spend applies
Ask about AB eligibility Alberta Film Commission →

Saskatchewan

(SK)
Base Rate
25% grant
Type
All-Spend (grant, not tax credit)
Effective Combined
ATL/BTL ~37% with Federal
Saskatchewan offers a 25% grant (not a tax credit) on eligible provincial spend. Stackable with 16% federal PSTC for competitive combined rates.

Program Details

Base Rate
25% of eligible Saskatchewan spend
Spend Type
All-Spend (provincial)
Bonuses
N/A

Key Nuances

Structure
Grant (not a tax credit); stackable with 16% federal PSTC on net labour
Requirement
Majority of principal photography must occur in SK; screen credit required

Application & Compliance

Administration
Creative Saskatchewan application; funding agreement; drawdowns
Minimums
No minimum spend requirement
Timing
Decisions ~4 weeks after application acceptance
Caps
Project cap ~$5M; annual program cap ~$10M
Ask about SK eligibility Creative Saskatchewan →

Manitoba

(MB)
Base Rate
30-45% (choose stream)
Type
Cost-of-Salaries OR Cost-of-Production
Effective Combined
ATL/BTL ~53.8% with Federal
Manitoba offers one of the highest combined rates in Canada with two stream options: Cost-of-Salaries (45% labour, up to 65% with bonuses) or Cost-of-Production (30% all-spend, up to 38%).

Program Details - Cost-of-Salaries Stream

Base Rate
45% of eligible MB labour (up to 65% with bonuses)
Spend Type
Labour
Bonuses
+10% Frequent Filming • +5% MB Producer • +5% Rural/Northern (max 65% total)

Program Details - Cost-of-Production Stream

Base Rate
30% of eligible MB all-spend
Spend Type
All-Spend (includes labour and deemed labour)
Bonuses
+8% if partnered with eligible MB production company (max 38%)

Key Nuances

Stream Election
Choose Cost-of-Salaries OR Cost-of-Production (not both)
Requirements
Company must have MB permanent establishment; ≥25% of salaries/wages to eligible MB employees for work performed in MB; robust labour residency proofs required

Application & Compliance

Administration
Manitoba Film & Music certificate; claim via corporate return
Caps
No per-project cap noted; standard audit and proof requirements
Exclusions
Development costs excluded
Ask about MB eligibility Manitoba Film & Music →

New Brunswick

(NB)
Base Rate
40% Labour OR 25% All-Spend
Type
Choose stream before contract
Key Requirement
≥50% BTL in NB; ≥25% labour NB-based
New Brunswick offers producers a choice: 40% on labour OR 25% on all-spend (service productions) / 30% (NB/co-productions). Stream must be elected before contract signing.

Program Details

Base Rate - Option A
40% on eligible labour
Base Rate - Option B
25% all-spend (service/variety) OR 30% (NB productions/co-productions)
Spend Type
Labour OR All-Spend (program election required)

Key Nuances

Salary Cap
Eligible salaries cannot exceed 50% of total eligible costs
Common Choice
Service productions often use 25% all-spend option
Requirements
≥50% BTL crew must be NB-based; ≥25% of total labour must be NB residents

Application & Compliance

Administration
Department of Tourism, Heritage & Culture certificate; corporate claim
Audit Requirements
Independent audit required for budgets >CA$500k; CPA audit required; company cap $1M per fiscal year
Caps
Per-project maximum by genre; company cap $1M per fiscal year
Ask about NB eligibility Film New Brunswick →

Nova Scotia

(NS)
Base Rate
25% grant (fund, not tax credit)
Type
All-Spend + multiple uplifts
Effective Combined
ATL/BTL ~37% with Federal
Nova Scotia offers a 25% fund (not a tax credit) with multiple stackable uplifts for rural shooting, NS content, and distant locations. The fund is bankable and uncapped per project.

Program Details

Base Rate
25% of eligible Nova Scotia spend
Spend Type
All-Spend
Bonuses (Stackable)
+2% if ≥51% shooting outside HRM • +1% shoots >30 days • +1.5% if ≥60% NS performers/stunts • +1.5% if ≥3 NS content elements • +7% distant location >100km from Halifax City Hall • +10% distant location >150km from Halifax City Hall

Key Nuances

Structure
Fund (not a tax credit); bankable and uncapped per project
Requirements
HOD (Head of Department) residency thresholds apply
Administration
CCTH (provincial) administers; funding agreement & disbursements

Application & Compliance

Timing
Apply before principal photography begins
Minimums
Minimum NS spend CA$25k
Caps
Project cap up to CA$10M; CPA audit required
Ask about NS eligibility Screen Nova Scotia →

Prince Edward Island

(PE)
Base Rate
32% rebate
Type
All-Spend (PEI costs)
Bonuses
+1% Producer; +2% Series (max 35%)
PEI offers a 32% rebate on eligible PEI costs with bonuses for PEI producers/co-producers and series productions. Pre-approval required before production begins.

Program Details

Base Rate
32% rebate of eligible PEI costs
Spend Type
All-Spend (PEI)
Bonuses
+1% PEI producer/co-producer (≥25% control) • +2% Series bonus (max 35% total)

Key Nuances

Requirements
Commercial licence agreement required; pre-approval before production

Application & Compliance

Administration
Innovation PEI – Film PEI intake; funding agreement
Minimums
Minimum PEI spend ≥ CA$25k
Caps
Other program limits apply
Ask about PE eligibility Film PEI →

Newfoundland & Labrador

(NL)
Base Rate
40% rebate (choose stream)
Type
Labour OR All-Spend
Effective Combined
ATL/BTL ~49.6% with Federal
NL offers 40% on either labour (capped at 25% of total budget) or all-spend. Two-part application process with substantial project caps.

Program Details - Labour Credit

Base Rate
40% of eligible NL labour (to max 25% of total budget)
Spend Type
Labour
Legacy Cap
Labour credit capped at $5M per 12-month period (see CRA; rules updated periodically)

Program Details - All-Spend Credit

Base Rate
40% of total qualified production costs (provincial all-spend)
Spend Type
All-Spend
Process
Part I application before principal photography; Part II after post-production

Key Nuances

Structure
Fully refundable corporate tax credit

Application & Compliance

Administration
Department of Finance / PictureNL; certificate then T2 filing
Process
Two-part process via NL Film Development Corp. & Finance (Part I pre-principal; Part II post)
Caps
Project cap up to CA$10M credit per project per year; CPA audit required
Ask about NL eligibility Newfoundland & Labrador Film →

Yukon

(YT)
Base Rate
25% rebate
Type
Labour rebate
Effective Combined
ATL/BTL ~37% with Federal
Yukon offers a 25% labour rebate if ≥50% of person-days are crewed by eligible YT residents. Ongoing intake with straightforward requirements.

Program Details

Base Rate
25% rebate
Spend Type
Labour

Key Nuances

Requirements
Labour rebate available if ≥50% person-days crewed by eligible YT residents

Application & Compliance

Administration
Yukon Film Society administers; ongoing intake
Ask about YT eligibility Yukon Film Society →

Northwest Territories

(NT)
Base Rate
25-40% rebate
Type
Labour/Training, Expenditure & Travel
Bonuses
+15% labour; +15% spend outside Yellowknife
NWT offers 25-40% across multiple program streams with substantial uplifts for labour training and expenditures outside Yellowknife. Subject to annual budget with intake windows.

Program Details

Base Rate
25–40% rebate (program-dependent)
Spend Type
Labour/Training, Expenditure & Travel programs
Bonuses
+15% labour for recognized positions or NWT resident trainees • +15% spend outside Yellowknife

Key Nuances

Program Structure
Multiple streams available: Labour/Training, Expenditure, and Travel programs
Budget Dependent
Subject to annual budget; intake windows may be set yearly

Application & Compliance

Administration
NWT Department of Industry, Tourism and Investment (ITI)
Minimums
$60k minimum spend
Caps
Subject to annual program budget
Ask about NT eligibility NWT Film Commission →

Nunavut

(NU)
Base Rate
17-30% rebate
Type
All-Spend rebate
Effective Combined
ATL/BTL ~30.3% with Federal
Nunavut offers 17-30% rebate with unique bonuses for NU resident key creatives and Inuktitut/Inuinnaqtun language versions. First-come, first-served intake.

Program Details

Base Rate
17–30% rebate
Spend Type
All-Spend
Bonuses
+1% per NU resident key creative (max +3%) • +10% if versioned in Inuktitut/Inuinnaqtun (max $40k)

Key Nuances

Indigenous Content
Substantial bonus for indigenous language versions; supports cultural preservation
Key Creative Bonus
Stackable bonuses for NU resident key creative positions

Application & Compliance

Administration
Nunavut Economic Development & Transportation
Minimums
Minimum $25k spend
Requirements
Screen credit & CPA audit required; first-come, first-served intake
Ask about NU eligibility Nunavut Film →

Important Notes: "Effective" combined percentages are directional estimates. Actual recovery depends on specific residency requirements, eligible cost categories, bonus zone qualifications, and individual program rules. Provincial "assistance" reduces the federal PSTC labour base. We model the precise budget & cashflow for your specific scenario and manage compliance requirements through production and audit.