Payroll Rebates Approved

Nova Scotia Business Inc. (NSBI) has approved two new business development incentives in the form of a payroll rebate.

Opus Fund Services (Canada) Limited is an independent and privately owned full-service fund administrator expanding its global footprint, adding a new office in Halifax.

The company has the potential to create up to a maximum of 30 jobs under the five-year payroll rebate agreement. Based on the maximum growth forecast of the agreement, NSBI estimates the company could spend $5,580,000 in salaries.

It is also estimated the new employees would contribute provincial tax revenues of $627,000 through their income and consumption taxes. As a result, the company would earn a rebate up to $369,000 over five years.

Opus Fund Services (Canada) Limited would be eligible for a smaller rebate if it creates fewer than 30 jobs.

VistaCare Communications is a full-service provider and administrator of commercial communications and building security systems and has the potential to create up to a maximum of 100 jobs under the five-year payroll rebate agreement.

With headquarters in Bedford, the company is expanding their Nova Scotia operations to support growth into new Canadian and U.S. markets.

Based on the maximum growth forecast of the agreement, NSBI estimates the company could spend $13,775,000 in salaries. It’s estimated the new employees would contribute provincial tax revenues of $1,475,000 through their income and consumption taxes. As a result, VistaCare Communications would earn up to $826,500 over five years.

VistaCare Communications would be eligible for a smaller rebate if it creates fewer than 100 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 of 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 Fund

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