The Ontario Interactive Digital Media Tax Credit (OIDMTC) is a refundable tax credit designed to support Ontario-based digital media companies. It helps businesses offset costs related to the development, marketing, and distribution of interactive digital media products.

Key Details:

• 40% tax credit for eligible Ontario labour expenditures and marketing/distribution expenses for companies developing and marketing their own products (non-specified products).
• 35% tax credit for eligible Ontario labour expenditures for products developed under a fee-for-service arrangement (specified products).
• 35% tax credit for qualifying digital game corporations and specialized digital game corporations that meet specific labour expenditure thresholds.
• No limit on eligible Ontario labour expenditures, but marketing and distribution expenses are capped at $100,000 per non-specified product.

Eligibility:

• Must be a Canadian corporation with a permanent establishment in Ontario.
• Certain types of products, such as search engines, real estate databases, and news/public affairs platforms, are excluded.

The program is jointly administered by Ontario Creates and the Canada Revenue Agency (CRA).