Saskatchewan Technology Startup Incentive (STSI)

STSI: Canada’s Most Aggressive Tech Tax Credit Program

Open Intakes

STSI offers a 45 per cent tax credit to Saskatchewan-based investors supporting Eligible Startup Businesses (ESBs).

Program Highlights

* total annual program cap

Eligibility

How STSI Helps

Saskatchewan Startups

Saskatchewan Investors

Creates unique opportunity to actively support Saskatchewan startups
Secures attractive return through a 45 per cent tax credit
Mitigates investment risk
Draws on diverse range of new and seasoned angel investors, nearly 60 per cent of which are new to angel investing

Note: An ESB can raise a maximum of $2 million under the program. No more than $1 million of this investment can have occurred prior to April 1, 2021. An investor can earn up to $225,000 in tax credits per annual investment in an ESB and claim a maximum of $140,000 per tax year. Tax credits are allocated on a first-come, first-served basis.

STSI Impact

SK Startups Supported since 2018

0 +

Private Investment Attracted per $1 Tax Credit*

$ 0

Private Investment Attracted*

$ 0 M+

* based on data provided by program recipients

Having a tax incentive program for investors like STSI is critical for a growing company like ours. It has allowed us to bring more investment dollars from investors within Saskatchewan.

Dr. Mike Wesolowski

CEO & Founder, Luxsonic Technologies

STSI Eligibility

STSI is open for ESBs to participate if they are Saskatchewan-based, substantially engaged in the research, development and commercialization of novel innovations in digital or clean technologies and additional criteria.

General Criteria

Fewer than 50 employees, including full-time, part-time and contract workers
50 per cent of employees based in Saskatchewan
Head office in Saskatchewan*
Registered to do business in Saskatchewan
Have not raised more than $5 million in equity capital

* Consult the Program Guide if ESB does not have a physical head office space

Technology Criteria

Advancement to what currently exists in the marketplace
Unique features and benefits distinct to competitors
Digital technology uses electronics, software, computers, AI or other information & data systems
Clean technology increases energy efficiency or reduce emissions or environmental impacts of existing industrial processes
Life sciences technology provides solutions in human and animal health, and agricultural biotechnology

STSI is open to individuals, corporations and limited partnerships who are based in Saskatchewan and meet the respective eligibility criteria.

Individuals & Corporations

Limited Partnerships

Review the Program Guide for full eligibility criteria.

How to Apply for STSI

Review the Program Guide and support resources to confirm eligibility

Create a user account through the Online Application Portal and submit the appropriate form (e.g., ESBs should complete the tech company application form)

Receive confirmation of STSI eligibility status. Typical application processing timelines are 1-2 weeks for investors and 3-4 weeks for tech company

Consult the Program Guide for full program structure and application process details.

Claiming the STSI Tax Credit

For complete details, please refer to the Program Guide.

Step 1

Eligible Startup Businesses or Limited Partnerships will distribute tax credit certificates issued by Innovation Saskatchewan to their investors.

Step 2

File your personal or corporate income tax return for the tax year in which the investment was made.

Step 3

Once you have received a Notice of Assessment from the Canada Revenue Agency, complete an STSI Claim Form.

Step 4

Submit the following documents to the Saskatchewan Ministry of Finance:

Tax credit certificate(s)

STSI Claim Form

Notice of Assessment from the Canada Revenue Agency

Step 5

The Ministry of Finance will verify the claim and provide a rebate calculation in accordance with the program legislation.

Have questions about your tax credit certificate(s)? Please reach out to the startup(s) you’ve invested with.

Saskatchewan Technology Startup Incentive

The Saskatchewan Technology Startup Incentive (STSI) encourages investment in early-stage tech startups that bring new products to market and create jobs in Saskatchewan.