Employee Tax Incentive: IFA Specialist

A company in the International Financial Activity (IFA) program can apply to register an employee as an IFA Specialist

Benefit for Employees

• Specialists are entitled to receive up to a 75% refund of provincial tax on income earned in the international financial business (IFB) for a maximum of five years.

Requirements

• The individual must be a non-resident of Canada immediately prior to entering into a written employment.
• The terms of the written contract of employment require that at least 70% of the individual’s working time must be devoted to international financial activities.
• Individuals employed in administrative support services, back-up office services, management and control, or life science activities do not qualify for registration under the program.
• The employer must be registered in the IFB program.

The Refund

• The employer of the IFA specialist must first register with the BC Ministry of Finance (formerly the BC Ministry of Small Business and Revenue) in order for the individual to be eligible for the tax refund.
• The IFA refund for the Specialist is not taxable as income.
• A refund is paid only after all British Columbia and federal income taxes for the taxation year are paid.
• Returns must be filed within 18 months of the end of the taxation year.

More Information

For more information about IFA Specialists, please consult Bulletin IFA 001, International Financial Activity Overview. Individuals wishing to apply as an IFA specialist must have their employer complete an Application For Registration Of An IFA Specialist. This form, and all other necessary forms, can be found on the International Financial Activity Forms page on the website of the BC Ministry of Finance (formerly the BC Ministry of Small Business and Revenue). For more information regarding the legislation or provincial registration, please visit their website.

Return to top of page