The Federal government presented the Fall Economic Update last week. You‘ve probably heard major announcements in the news. But I wanted first to read over 100 of pages of the document, to make sure you get the most accurate summary of the changes in the Federal funding programs for businesses. Here is our analysis, which, hopefully, makes more sense to you compared to the mainstream media buzz.
1) The cost of machinery and equipment will be eligible for a full tax write-off the year it is put in use in the business. It doesn’t appear that there is an application procedure to be allowed to use immediate expensing. Waiting for CRA instructions on that.
2) CanExport program that supports participation in trade shows and trade missions, market research, legal fees and marketing tools will be expanded, and its budget will increase. The priority will be given to the applicants targeting EU markets and the markets of Transpacific Partnership. The program will also focus on helping more companies start exporting. Export readiness and export capacity building initiatives are upcoming. The details will follow in the next few months
3) The budgets of the Industrial Research Assistance Program and Strategic Innovation Fund have been increased.
4) Export mentor program will be connecting Canadian entrepreneurs that are looking to move into new overseas export markets with seasoned Canadian business executives who have in-market experience.
