The Québec budget tabled March 20 introduces a new refundable tax credit pertaining to the costs of issuing shares as part of an initial public offering (IPO) under the Stock Savings Plan II (SSP II). The SSP II is a plan which already provides for tax assistance that enables individuals to deduct the adjusted cost of an eligible share in calculating their taxable income (up to an amount equal to 10% of the individual’s total income). The 2012-2013 Budget broadens the tax assistance to corporations that incur share issue expenses in an IPO under the SSP II. The corporation will be entitled to a refundable tax credit of 30% of the eligible issue expenses it incurs after March 20, 2012 in relation to a public issue of eligible shares of its capital stock in an IPO under the SSP II. Eligible issue expenses (including in particular legal fees relating to the production and approval of the prospectus, accounting or auditing fees relating to the presentation of reports accompanying the prospectus or expenses for printing the prospectus) may not exceed the lesser of (i) 15% of the gross proceeds of the issue of shares; or (ii) $3,000,000. This credit will end on December 31, 2014, at the same time as the SSP II.