Alberta SR&ED Tax Credit Program: Innovation Employment Grant (IEG)

The Innovation Employment Grant (IEG) is an Alberta provincial variant of the Canadian federal Scientific Research and Experimental Development (SR&ED) program. Businesses eligible to apply for the federal SR&ED program may also be eligible to apply for funding through the Alberta Provincial Innovation Employment Grant (IEG) program. Funding through these federal and provincial programs can be stacked with other small business grants in Alberta. The Innovation Employment Grant (IEG) is available to Alberta businesses investing in research and development activities in Alberta. The eligibility requirements for the program require that the business is eligible for tax credits through the federal SR&ED funding program: -Available to corporations that undertake R&D in Alberta. Partnerships, trusts, and individuals are not eligible to claim the IEG. -The IEG is gradually phased out for firms with between $10 million and $50 million in taxable capital to ensure that the support targets small and medium-sized companies. -Firms with $50 million or more in taxable capital are not eligible for the credit. -Eligible expenditures must have been incurred in Alberta after December 31, 2020, and parallel those that qualify for the federal SR&ED program.