Ontario Film and Television Tax Credit (OFTTC)

Insider Tip

Apply to Ontario Creates as early as the first day of principal photography — you don't need to wait for production to wrap. The certificate from Ontario Creates is a prerequisite for claiming the credit on your T2, and Ontario Creates has processing timelines, so early application avoids delays in your tax refund. If your production has location days both inside and outside the GTA, track them meticulously — the 10% regional bonus requires that at least 85% of Ontario location days are outside the GTA, which can mean $X00,000 in additional credit on a large production. The administration fee is capped at $10,000 (0.15% of labour expenditures), which is modest relative to the credit value.

Rejection Pitfalls 6

• Corporation is not Canadian-controlled (foreign-owned productions should use OPSTC instead)
• Production does not achieve the minimum 6 Canadian content points
• Ontario expenditures fall below 75% of total final production costs

Success Profile

Canadian-controlled Ontario production companies creating theatrical films, traditional television series, or online streaming productions with a strong Ontario crew and post-production presence. Productions with location shoots predominantly outside Toronto benefit from the 10% regional bonus. First-time producers with a debut feature or series receive an enhanced rate on their first $240,000 of qualifying labour.

Evaluation Criteria

Non-competitive entitlement program. Ontario Creates reviews applications for compliance with statutory eligibility criteria: Canadian control of the corporation, Ontario permanent establishment, Canadian content points, Ontario expenditure threshold (75%), distribution agreement, and excluded genre check. No merit scoring — eligible productions receive certificates automatically.

Application Steps

Required Documents 10

Eligible Expenses 5

• Salaries and wages paid to Ontario-resident employees for services rendered in Ontario
• Remuneration paid to Ontario-based sole proprietors, freelancers, and personal service companies for services by Ontario residents
• Payments to Ontario-incorporated corporations with Ontario permanent establishments for Ontario-resident personnel
• Payments to Ontario-based partnerships for services rendered by Ontario residents
• Labour expenditures from development stage (up to two years before principal photography) through end of post-production

Ineligible Expenses 7

• Capital equipment purchases
• Location fees and studio rentals (non-labour costs)
• Travel, accommodation, and per diems
• Story rights and script acquisition costs
• Financing costs and interest
• Expenditures paid to non-arm's-length parties in excess of fair market value
• Any government assistance (grants, subsidies) applied to the same labour expenditures

Intake Periods

Continuous — applications accepted at any point from the first day of principal photography through 24 months after the end of the corporation's taxation year in which principal photography began.

Deadline Notes

Applications must be submitted to Ontario Creates within 24 months of the end of the corporation's taxation year in which principal photography commenced. A CRA-approved waiver can extend this to 42 months. Certificates are issued within 30 months (or 48 months with waiver). Late applications incur an additional $100 fee.

Open Application Portal →

Ineligible Organizations

• Foreign-owned corporations (OPSTC is available for these productions instead)
• Non-corporate entities (sole proprietors, partnerships)
• Productions already certified for Ontario Production Services Tax Credit (OPSTC)

Compatible Programs

Clawback Risk

Low Risk

No clawback on the credit itself once issued. However, if the production's actual costs differ materially from the estimate, Ontario Creates may require an amended certificate — and CRA may reassess the T2 claim if documentation does not support the amounts claimed.