Stacking

Can you stack Ontario Innovation Tax Credit (OITC) and Ontario Research and Development Tax Credit (ORDTC)?

Yes. Ontario Innovation Tax Credit (OITC) and Ontario Research and Development Tax Credit (ORDTC) can be combined. They fund different things, so the trick is simple: apply to each separately and never claim the same dollar twice.

01/Tax Credit

Ontario Innovation Tax Credit (OITC)

8–12% of eligible R&D expenditures

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.

Who qualifies: incorporated; Ontario; all industries
02/Tax Credit

Ontario Research and Development Tax Credit (ORDTC)

3.5% of eligible R&D expenditures

Non-refundable Ontario credit for R&D expenditures by corporations. 3.5% of eligible expenses, calculated on the same base as the federal SR&ED credit.

Who qualifies: incorporated; Ontario; all industries

How to stack them

  1. 01Confirm you meet each program's eligibility on its own. Ontario Innovation Tax Credit (OITC) and Ontario Research and Development Tax Credit (ORDTC) are assessed separately.
  2. 02Apply to each program through its own application. There is no combined form.
  3. 03Allocate distinct costs to each program. You cannot claim the same dollar of expense under both, but you can fund different parts of the same project.
  4. 04Track both deadlines and keep the paperwork separated, so each claim stands on its own.

Stacking rules vary by program and change over time. Confirm the current rules with each program, or take the quiz and we will flag the combinations you qualify for.