Quebec Invests In Business To Spur Economic Growth

The Quebec government, in its ‘Budget 2021-2022,’ is investing $5 billion over the next five years to spur business investment and boost productivity in all of Quebec's regions, with the goal of accelerating growth. It will also add additional investments of $193 million over two years to make it possible to extend the Concerted Temporary Action Program for Businesses (PACTE), the Emergency Assistance Program for Small and Medium-sized Businesses (PAUPME), and the tax credit in respect of employer contributions to the Health Services Fund for employees on paid leave and to provide a new easing of the way hours paid are calculated for the small business deduction. As well, investments of nearly $2.2 billion over the next five years are planned to boost productivity and spur business investment. To encourage businesses to adopt new technologies and raise their productivity, the government is temporarily increasing the investment and innovation tax credit (C3i) and bringing the income tax rate for Quebec small- and medium-sized businesses down to the same level as Ontario.