Taxes & Incentives
Our city, province and country recognize that you have choices when deciding where to locate your business. While Ontario does not allow municipalities to provide cash incentives or enter into special tax agreements, all three levels of government provide specialized incentives.
London Real Estate Industrial Tax - 2008
Occupied Land = Current Value Assessment x 6.320938%
Vacant or Excess Land = Current Value Assessment x 4.064594 %
Business Personal Property Tax = None
Industrial Clawback Rate* = 53.2336 %
Cap on Property Tax Increases* = 10 %
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* Tax increases on industrial properties as a result of reassessment, will be
capped at 10% plus any municipal increases for 2008. In the case of property
reassessments that result in tax decreases, a portion of the tax decrease is
withheld to fund the cap on tax increases. This portion is determined by the
clawback rate.
Incentives
The governments of Ontario and Canada assist employers by providing tax incentives and wage subsidies for hiring and training including:
- The Ontario Cooperative Education Tax Credit for employers consists of a tax credit for 10% of salary or wage to a maximum of C$1,000 per three month work placement for students in cooperative education or leading edge technology programs. Click here for detailed information.
- The National Research Council (NRC)/Industrial Research Assistance Program (IRAP) provides a wage subsidy which enables technology based SMEs to hire recent graduates for six months and use their skills to help develop their company's technology.
- The Ontario Job Connect program provides a wage subsidy to enable employers to hire and provide on-the-job-training. This program is provided by the Ontario Ministry of Training, Colleges and Universities.
- The Federal Targeted Wage Subsidy program provides wage subsidy for up to one year (maximum 60% of wages paid) to hire individuals re-entering the workforce.
- Ontario Employer Health Tax exemption provides eligible employers exemption from paying Employer Health Tax (EHT) on some, or all, of their annual total Ontario payroll.
