Quebec IDCI: are you ready?
Tax Alert No. 53, 10 November 2020
In its 10 March 2020 budget, Quebec announced the introduction of a taxable income deduction for the commercialization of innovations in Quebec (IDCI). In brief, the IDCI is a deduction that will allow a qualified innovative corporation to benefit from a reduced effective tax rate of up to 2% on the qualified portion of its taxable income attributable to qualified intellectual property assets.
This Alert summarizes the new deduction based on the additional information provided by Finance Quebec in the budget documents. As of the date of this Tax Alert, draft legislation has not been released in respect of this new tax measure.
Budget information: For up-to-date information on the federal, provincial and territorial budgets, visit ey.com/ca/Budget.