The Nova Scotia Large Corporations Tax is a tax on corporate capital of non-financial companies. For both federal and provincial taxation purposes, capital is defined as all of a firm's debt and owner's equity less any current debt.
The Rates
| Rate by Value of Corporate Capital |
| Effective dates | Under $10 million | $10 million and over |
| July 1, 2007 - June 30, 2008 | $5 million deduction & 0.45% | No deduction & 0.225% |
| July 1, 2008 - June 30, 2009 | $5 million deduction & 0.40% | No deduction & 0.20% |
| July 1, 2009 - June 30, 2010 | $5 million deduction & 0.30% | No deduction & 0.15% |
| July 1, 2010 - June 30, 2011 | $5 million deduction & 0.20% | No deduction & 0.10% |
| July 1, 2011 - June 30, 2012 | $5 million deduction & 0.10% | No deduction & 0.05% |
| July 1, 2012 - Eliminated | Eliminated | Eliminated |
Determining the Large Corporations Tax Capital BaseThe Large Corporations Tax capital base is defined under the federal Income Tax Act and includes items such as:
- Capital stock
- Retained earnings and contributed surpluses
- Loans and advances to corporation
- Debt with term greater than one year