Canada has no free zones in the Dubai sense. Its incentives are research credits, grants and customs programmes that defer duty on goods.
There are no tax-free zones. CCPCs can claim refundable SR&ED credits of up to 35%, IRAP funds R&D projects, and duty deferral programmes help importers and exporters.
The incentives founders use most often.
| Programme | Benefit | Who qualifies |
|---|---|---|
| SR&ED | 35% refundable / 15% credit | Companies doing qualifying R&D in Canada |
| IRAP | Non-repayable funding | Small and medium tech companies |
| Duty Deferral Program | Duty relief on re-exported goods | Importers and exporters |
| Provincial credits | Varies | Digital media, film, R&D and others |
A CCPC spending CAD 400,000 on qualifying R&D salaries can receive a refundable federal credit of up to 35%, before any provincial credit.
SR&ED claims need records of hypotheses, experiments and time spent, kept as the work happens.
Funding starts with an industrial technology adviser who reviews the project before you apply.
Bonded warehouses and the Duty Deferral Program let goods be stored or processed without paying duty if they are re-exported.
For tech companies, SR&ED is the real Canadian incentive. Set up time tracking for R&D on day one; claims fail on records, not eligibility.
Canada uses Foreign Trade Zone programmes rather than physical zones.
Yes, at 15% non-refundable.
Government assistance usually reduces the expenses you can claim.