Intra-Company Transfer (ICT) Business Plans

The LMIA exemption codes for Intra-Company Transfers are:

• C61: For employees starting a branch or affiliate entity in Canada.

• C62: For executives, senior managers, or functional managers.

• C63: For specialized knowledge staff.

To qualify under the C61 code, an employee must be involved in establishing a new branch, subsidiary, or affiliate of the existing foreign business in Canada. The key requirements include:

• Financial Strength: The parent company must demonstrate substantial financial strength and retained earnings that justify the investment in the new Canadian entity, ensuring the company has the resources to support the new branch's operations.

• Operational Continuity: The overseas company must continue its operations during the entire period of the employee's work permit in Canada, maintaining sufficient staffing levels to manage the business abroad while the new branch is being established in Canada.

• Ownership Structure: The ownership and control structure of the foreign and Canadian entities must be identical or under the same group of shareholders, ensuring consistency and control between the parent company and its Canadian counterpart.

• Employee's Role: The employee must have been operationally involved with the overseas entity for at least 12 months within the past three years, demonstrating a significant role within the company.

The C62 code is for transferring executives, senior managers, or functional managers. To qualify, the individual must:

• Hold a Key Managerial Role: The employee should occupy a senior management position, such as an executive or functional manager, responsible for directing the company or a significant part of it.

• Transfer Purpose: The transfer should aim to improve the Canadian branch's management effectiveness, expand Canadian exports, or enhance competitiveness in overseas markets.

• Employment History: The employee must have been employed by the foreign company for at least one year in the past three years, ensuring they have substantial experience and knowledge of the company’s operations.

• Significant Impact: The transfer must provide significant economic benefit to Canada, such as through the transfer of specialized expertise or the creation of new business opportunities.

The C63 code applies to specialized knowledge workers who possess proprietary skills essential to the company’s operations. To qualify under this code, the following criteria must be met:

• Specialized Knowledge: The employee must have specialized knowledge of the company's products, services, processes, or procedures. This knowledge should be uncommon and not easily transferable to other individuals.

• Proprietary Expertise: The skills should be proprietary to the company, meaning the employee has a unique understanding that is critical to the business's success in Canada.

• Work History: Similar to other codes, the employee must have been employed by the foreign company for at least one year in the past three years. This demonstrates their integral role in the company's operations.

• Economic Benefit: The transfer should enhance the Canadian branch’s operations by contributing unique expertise that improves competitiveness, drives innovation, or supports business growth. The specialized knowledge must provide a clear economic benefit to Canada.

Common reasons for rejection include:

• Insufficient Documentation: Failure to provide all required documentation, such as proof of employment, detailed job descriptions, and evidence of specialized knowledge.

• Lack of Qualifying Relationship: Inadequate evidence of a qualifying relationship between the foreign and Canadian entities.

• Insufficient Financial Strength: The parent company does not demonstrate sufficient financial stability to support the new Canadian entity.

• Non-Compliance with Role Requirements: The job position in Canada does not align with the requirements for executive, managerial, or specialized knowledge roles.

• Temporary Nature Not Demonstrated: Failure to prove that the transfer is temporary and that the employee will return to the foreign entity after the transfer period​.

• Failure to Be Multinational: The foreign entity must operate in at least two countries to qualify as a multinational company. Rejections can occur if the company fails to demonstrate this multinational status​

The duration of stay under the ICT program depends on the employee's role:

• Initial Work Permit: Typically issued for one year for start-up operations.

• Renewals: Work permits can be renewed if the Canadian and foreign entities continue to have a qualifying relationship and the new office has been active in providing goods or services for the past year. Executives and managers can be granted work permits for up to seven years, while specialized knowledge workers can receive permits for up to five years

Documentation requirements include:

• Proof of Employment: Confirmation that the foreign national is currently employed by a multinational enterprise outside Canada.

• Employment History: Evidence that the employee has been employed full-time by the foreign entity for at least one year within the three years preceding the application.

• Job Descriptions: Detailed descriptions of the employee’s role both in the foreign entity and in Canada.

• Specialized Knowledge Proof: For specialized knowledge workers, evidence that the individual possesses the required knowledge and that the Canadian position requires such expertise.

• Qualifying Relationship Proof: Documentation showing the relationship between the foreign and Canadian entities

Yes, family members can accompany the employee. Spouses and dependent children can apply for open work permits, study permits, or visitor visas, depending on their age and the nature of the stay. The primary applicant must demonstrate the ability to support their family financially during their stay in Canada​.