OIDMTC COVID-19

• OIDMTC (specified and non-specified productions s93):

  Costs for medical and/or health and safety personnel required due to COVID-19 will be considered eligible costs for the OIDMTC tax credit for specified and non-specified products so long as all criteria for eligible labour expenditures are met, including:

  • these costs are directly attributable to the development of the eligible product
  • these costs are reasonable in the circumstances
  • these costs are paid no later than 60 days after the end of the year
  • these costs are incurred in the 37-month period ending at the end of the month in which development of the eligible product is completed
  • these costs are paid to individuals who were resident in Ontario at the end of the calendar year that precedes the calendar year in which they rendered the services and the individuals reported to a permanent establishment of the corporation in Ontario or rendered their services at a permanent establishment of the corporation in Ontario

  Likewise, labour costs related to testing for COVID-19 or cleaning and sanitation costs that meet the criteria for qualifying labour expenditures can be claimed for the OIDMTC. However, non-labour costs such as the cost of a test kit, or cleaning supplies and equipment, will not be considered eligible costs for OIDMTC.

  OIDMTC (qualifying digital game corporation s93.1)

  Costs for medical and/or health and safety personnel required due to COVID-19 will be considered eligible costs for the OIDMTC tax credit for qualifying digital game corporations under section 93.1, so long as all criteria for eligible labour expenditures are met, including:

  • these costs are directly attributable to the development of the eligible digital game
  • these costs are reasonable in the circumstances
  • these costs were paid no later than 60 days after the end of the year
  • these costs are incurred in the 36-month period ending in the taxation year when the qualifying labour expenditures incurred by the qualifying digital game corporation is not less than $1,000,000
  • these costs are paid to individuals who were resident in Ontario at the end of the calendar year that precedes the calendar year in which they rendered the services and the individuals reported to a permanent establishment of the corporation in Ontario or rendered their services at a permanent establishment of the corporation in Ontario

  Likewise, labour costs related to testing for COVID-19 or cleaning and sanitation costs that meet the criteria for qualifying labour expenditures can be claimed for the OIDMTC. However, non-labour costs such as the cost of a test kit, or cleaning supplies and equipment, will not be considered eligible costs for OIDMTC.

  OIDMTC (specialized digital game corporation s93.2)

  Medical and or health and safety personnel required due to COVID-19 will be considered eligible costs for the OIDMTC tax credit for specialized digital game corporations under section 93.2, so long as all criteria for eligible labour expenditures are met, including:

  • these costs are directly attributable to the development of the eligible digital game
  • these costs are reasonable in the circumstances
  • these costs were paid no later than 60 days after the end of the year
  • these costs are paid to individuals who were resident in Ontario at the end of the calendar year that precedes the calendar year in which he or she rendered the services and the individuals reported to a permanent establishment of the corporation in Ontario or rendered their services at a permanent establishment of the corporation in Ontario
  • these costs were incurred in a taxation year where the Ontario labour expenditure in respect of eligible digital games is not less than $1,000,000000 or $5000,000 if applicable

  Likewise, labour costs related to testing for COVID-19 or cleaning and sanitation costs that meet the criteria for qualifying labour expenditures can be claimed for the OIDMTC. However, non-labour costs such as the cost of a test kit, or cleaning supplies and equipment, will not be considered eligible costs for OIDMTC.