A payroll rebate is a return on a company’s eligible gross payroll, paid out yearly after a company achieves predetermined targets. It’s issued over a set number of years—generally five—and to a set dollar amount. Invest Nova Scotia supports companies in knowledge-based industries that have a high probability of sustainable growth. We focus our efforts in targeted sectors.
Program details
Rebates are equivalent to between 5% and 10% of the applicant’s gross payroll, depending on the applicant’s location in Nova Scotia, business sector, and economic benefit to the province. This means that for every dollar a company spends in salaries and benefits, a percentage is rebated back to the company. No rebate money is paid unless a company first meets minimum employment, payroll, and salary targets.
Eligibility
Criteria for this program includes:
- Applications must be project-based
- Projects are expected to create sustainable long-term employment
- All projects should result in the creation of at least 20 incremental jobs (FTEs) in Nova Scotia
- The average salary of the jobs created should be above the regional average
- Projects that are considered to be competitively harmful to existing Nova Scotia business will not be considered
- The applicant’s business must be considered eligible according to Invest Nova Scotia’s operating regulations
The process
In consultation with the company, Invest Nova Scotia determines if the payroll rebate is a good fit. This process generally requires historical and/or projected financial statements of the company, reports providing information with respect to the companyʼs ownership, management, products, markets, and suppliers, and any additional information that may be needed by Invest Nova Scotia to assess the financial and operational viability of the company.