Nova Scotia Business Inc. (NSBI) has approved a business development incentive in the form of a payroll rebate for Web.com Canada, Inc., New Glasgow.
WEB.com Canada, Inc. is expanding in Nova Scotia and has the potential to create up to a maximum of 330 jobs in its expansion of business operations in New Glasgow. Based on the maximum growth forecast of the eight-year payroll rebate agreement, NSBI estimates that WEB.com Canada, Inc. could spend $78.8 million in salaries.
It is estimated the new employees would contribute provincial tax revenues of about $8.17 million through their income and consumption taxes. As a result, the company is qualified to earn up to a maximum of $6,307,200 through the payroll rebate agreement. WEB.com Canada, Inc. would be eligible for a smaller rebate if it creates fewer than 330 new jobs.
Web.com Canada, Inc. is also receiving support from the Department of Labour and Advanced Education for workforce development and attachment.
— 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 .