Canada: Reintroduced 2022 budget bill proposes corporate income tax changes (Ontario)
The bill reintroduces measures contained in Ontario’s previous 2022 budget bill.
Corporate income tax changes
Ontario’s Bill 2, which includes corporate income tax changes announced in the province’s 2022 budget, received first reading on 9 August 2022.
The bill reintroduces measures contained in Ontario’s previous 2022 budget bill (Bill 126), including measures to extend certain corporate tax credits. Bill 126 received first reading on 28 April 2022, but failed to be enacted before the Ontario general election on 2 June 2022.
Corporate income tax measures
Ontario Bill 2 includes corporate income tax measures that would:
- Extend the temporary increase to the regional opportunities investment tax credit to 20% (from 10%) for an additional year, for qualifying investments in certain geographic regions of Ontario that become available for use from 24 March 2021 to 31 December 2023 (previously 31 December 2022)
- No longer require a literary work to be published in an edition of at least 500 copies of a bound book to be eligible for the Ontario book publishing tax credit for the 2022 and subsequent tax years (this requirement was previously temporarily removed for the 2020 and 2021 tax years)
Read an August 2022 report prepared by the KPMG member firm in Canada
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