North America Common Law
R&D heavy Canadian controlled startups, Canada
SR&ED is refundable at 35% on the first CAD 3M of qualifying R&D for Canadian Controlled Private Corporations (CCPCs). The small business deduction brings effective CIT to roughly 12% on the first CAD 500k of active income. Provincial top ups (Ontario IDMTC, BC SBVCTC) stack.
SR&ED 35% refundableSmall biz ~12%CCPC status
Start setup {placement} 4 min · no card required
Corp tax
26.5%
Fastest setup
5 business days
Tax treaties
94
Region
North America
What you'll need
- Resident director required
- Local registered office required
- No substance requirement
- Minimum capital: CAD 1
- Administrative language: English and French
- Legal system: Common law
Tax and treaty profile
- Corporate tax 26.5%
- Tax treaties 94
- VAT rate 13%
- Withholding on dividends 25%
Key treaty partners
United StatesUnited KingdomFranceGermanyNetherlandsSingapore
Banking and payments
- Banking takes 2 to 4 weeks with KYC
- Stripe supported
- Wise supported
Considerations
If you want territorial or low tax treatment
Canada taxes worldwide income at ~26.5% combined; even with SR&ED the effective rate stays material for non R&D revenue. For territorial regimes:
~26.5% combined CITWorldwide taxationProvincial layering