Payroll Rebate Approved

Nova Scotia Business Inc. (NSBI) has approved a business development incentive in the form of a payroll rebate for Entreprise Castle Hall Alternatives, Inc. (Castle Hall), headquartered in Montreal, PQ.

Castle Hall is a provider of operational due diligence to the investment industry with the potential to create up to a maximum of 40 new jobs under the payroll rebate agreement. Based on the maximum growth forecast of the five-year payroll rebate agreement, NSBI estimates Castle Hall could spend $4.9 million in salaries.

The new employees are expected to pay provincial, personal income taxes of about $507,958. That will result in Castle Hall earning up to $313,200 through the rebate agreement. Castle Hall would receive a smaller rebate if it creates fewer than 40 new jobs.

Quick facts:
–payroll rebates are designed in a way that the tax revenue generated for the province by the new jobs in Nova Scotia is always more than the amount spent on the rebate
–payroll rebates are only paid after a business has generated actual payroll for the Nova Scotia economy
–for every dollar a company spends on the new jobs, it receives between five and 10 cents back
–when a company submits an annual rebate claim, it must send NSBI audited information that confirms the number of jobs it created that year
–payroll rebates are paid through the Strategic Investment Funds

Information on NSBI transactions can be found at http://www.novascotiabusiness.com/fundingdisclosures .

Source: Release