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Deductions · 8 min

Every deduction Canadian small businesses miss

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8 grants every Canadian founder should know about

Deductions · 7 min

The Small Business Deduction, fully explained

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Deductly is a discovery tool, not a tax filer. Information is provided for educational purposes. Always confirm program details and eligibility with a qualified Canadian accountant before applying or claiming any benefit.

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TAX CREDITOntario

Ontario Innovation Tax Credit (OITC)

Last verified: June 2026

Ontario's refundable tax credit for businesses conducting R&D in Ontario. Smaller companies get a higher rate. Even if you have no taxable income, you can get a cheque from the government.

See if I qualify
Estimated value
8–12% of eligible R&D expenditures
Approval likelihood
Medium
Ready to apply score
60/100
Documents needed
4

Eligibility

  • Business types:incorporated
  • Industries:All industries
  • Provinces:Ontario
  • Requires R&D activity

What you'll need

  • CT23 Ontario corporate tax return
  • Schedule 508 (Ontario Innovation Tax Credit)
  • R&D project documentation
  • Payroll records for technical staff

How to apply

  1. 1Document all R&D activities and costs in Ontario
  2. 2Determine eligible expenditures with your accountant
  3. 3File Schedule 508 with your Ontario corporate return
  4. 4Receive refund even if no taxes owed
Deadline:Annual: file with your Ontario corporate return

Is your business a fit for Ontario Innovation Tax Credit (OITC)?

Take the 3-minute quiz to find out, and see every other Canadian program you qualify for at the same time.

Check my eligibility

Related programs

TAX CREDIT

Ontario Regional Opportunities Investment Tax Credit

10% of eligible capital costs

TAX CREDIT

Provincial R&D Tax Credits

3.5–30% of eligible R&D costs

TAX CREDIT

Ontario Film and Television Tax Credit

35% to 40% of eligible Ontario labour

A monthly digest

New programs, in your inbox.

We are in beta. Drop your email and we will write when the first digest is ready. Monthly cadence, easy unsubscribe.

Deductly CA

Every Canadian grant, tax credit, and deduction your business qualifies for. In one ranked list.

Start the assessment
Product
  • Eligibility quiz
  • All programs
  • Watch (live changes)
  • The funding journey
  • When to apply
  • Stackability map
  • Document checklist
  • Calculators
  • Tracker
  • Learn
  • Pricing
Resources
  • For accountants
  • Public API
  • RSS feed
  • What's new
  • Roadmap
  • Press
  • vs ChatGPT
  • vs Benefits Finder
By province
  • Ontario
  • British Columbia
  • Alberta
  • Quebec
  • Manitoba
  • Saskatchewan
By industry
  • Technology & Software
  • Manufacturing
  • Retail & E-commerce
  • Food & Beverage
  • Professional Services
  • Creative & Media
For
Women entrepreneursNewcomersIndigenous businessYouth foundersBlack entrepreneursFirst-hire employers
Recent guides
Deductions · 8 min

Every deduction Canadian small businesses miss

Grants · 10 min

8 grants every Canadian founder should know about

Deductions · 7 min

The Small Business Deduction, fully explained

© 2026 DeductlyPrivacyTermsAboutFrançaisContact
All systems operational

Deductly is a discovery tool, not a tax filer. Information is provided for educational purposes. Always confirm program details and eligibility with a qualified Canadian accountant before applying or claiming any benefit.