Provincial tax burden on businesses
“Saskatchewan has the lowest net business tax burden among the provinces according to a Conference Board of Canada report.”
- Regina Leader Post, May 2, 2016
Corporate tax incentives
Saskatchewan offers a refundable 10 per cent tax credit for research and development expenditures.
For manufacturing and processing equipment, there is a 6.8 per cent refundable investment tax credit. In addition, the Manufacturing and Processing Exporter tax incentive provides tax credits for expansion of full-time employees over 2014 baseline.
Corporate tax rates
Provinces and territories have two rates of income tax – a lower rate and a higher rate.
- Lower rate – The lower rate applies to the income eligible for the federal small business deduction.
- Higher rate – The higher rate applies to all other income.
|Province or territory||Lower rate||Higher rate|
|Newfoundland & Labrador||3.0%||15%|
|Prince Edward Island||4.5%||16%|