Payroll Rebate Approved
Nova Scotia Business Inc. (NSBI) has approved a business development incentive, in the form of a payroll rebate, for Oxford Frozen Foods Limited.
Oxford Frozen Foods Ltd, a Nova Scotia-based food producer, processor, manufacturer and exporter, has the potential to create up to a maximum of 110 new jobs under the payroll rebate agreement. Based on the maximum growth forecast of the five-year payroll rebate agreement, NSBI estimates Oxford Frozen Foods could spend an additional $18.7 million in salaries.
In addition to the economic benefits to rural Nova Scotia associated with $18.7 million in wages, the new employees are expected to pay provincial, personal income taxes of about $1,887,000. Under the payroll rebate agreement, Oxford Frozen Foods has an opportunity to earn a rebate up to a maximum of $1,486,800. Oxford Frozen Foods would receive a smaller rebate if it creates fewer than 110 new jobs.
To learn more about Oxford Frozen Foods growth plans visit http://nsbi.ca/oxfordfrozenfoods .
- 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 ten 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 .