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New ICT Rules in Canada: What Changed and What It Means for You

Feruza Djamalova Feruza Djamalova Senior Business Immigration Lawyer Last updated: 11 mins read

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Overview

What changed in Canada’s ICT rules?

Canada rewrote its Intra-Company Transfer (ICT) rules in October 2024 and added more guidance in January 2025. The changes make it harder for small and new companies to use the ICT, and they ask every applicant for more proof.

This guide covers only what changed and what it means for you now. For eligibility, the ICT categories, the application process and permanent residence, start with our main Intra-Company Transfer work permit guide.

ICT changes at a glance

01 Your company must already be a multinational before it opens in Canada.
02 The transferee must work from a real office in Canada, not remotely.
03 Every applicant must show a significant benefit to Canada.
04 Pay should meet the prevailing wage for the job and city.
05 Specialized knowledge now usually means 2+ years with the company.
06 A permit to open a new Canadian office lasts up to 1 year.

Key takeaway

The general ICT is now built for established multinationals. If your company only does business in its home country today, you cannot use the general ICT to open in Canada. Plan another route, or expand to a second country first.

Timeline

When did the ICT rules change?

IRCC changed the instructions its officers follow, not the law itself. The updates came in stages:

  • October 1, 2024

    IRCC updated its instructions for ICTs under free trade agreements.

  • October 3, 2024

    IRCC rewrote the general ICT instructions: multinational status, physical premises, wages and specialized knowledge.

  • January 6, 2025

    IRCC added guidance and examples on the multinational test for its three ICT codes: C61 (new office), C62 (executives and managers) and C63 (specialized knowledge).

  • January 21, 2025

    Open work permits for spouses were narrowed, and dependent children lost access to open work permits. This affects ICT families.

The changes

What are the new ICT requirements?

Here is each change, what it means in practice, and which ICT code it affects. The legal minimum for every ICT is still 1 year of full-time work with the company in the past 3 years.

01

Multinational test

All

What changed

Your company must already be a multinational before it sets up in Canada. That means it earns revenue in at least one country other than its home country. A company cannot use the ICT to become a multinational by opening its first foreign office here.

What it means for you

A single-country business cannot use the general ICT to open in Canada. The two companies must be linked by ownership and control, such as parent, branch, subsidiary or affiliate. Client, supplier, licensing and franchise ties do not count.

02

Real office

All

What changed

The transferee must work at the Canadian company’s physical business premises. If the job could be done remotely, IRCC expects a reasonable explanation of why it must be done in Canada. A time-zone difference is not enough.

What it means for you

Fully remote companies cannot use the ICT. Secure real premises and explain why the role needs to be on site.

03

Significant benefit

All

What changed

Every applicant must show that the work will bring significant economic, social or cultural benefits to Canada, or create opportunities for Canadians and permanent residents. Officers no longer take this for granted.

What it means for you

Back it up with a business case: jobs, investment, revenue, and skills passed on to Canadian staff.

04

Prevailing wage

All

What changed

Pay should not be lower than the prevailing wage for the occupation where the person will work. For specialized knowledge, the prevailing wage is a firm minimum.

What it means for you

Check the median wage for the job’s NOC code and region on Job Bank before you set the salary.

05

Specialized knowledge

C63

What changed

The 1 year of work with the company must be full-time, within the 3 years before you apply; part-time work no longer adds up to a year. For specialized knowledge, officers generally expect 2 or more years, depending on the industry. The job should be in TEER 0, 1 or 2.

What it means for you

The knowledge must be advanced and specific to your company. Roles in TEER 3, 4 or 5 get close scrutiny and rarely qualify.

06

New office limit

C61

What changed

A transferee coming to open a new Canadian office gets a permit of up to 1 year. Extensions are refused unless something outside your control caused a delay, and then only for up to 6 more months.

What it means for you

Have premises, funding and hiring plans ready before you apply, and plan from day one how the transferee will stay after year one.

Free trade agreements

Do the new rules apply if you use a free trade agreement?

Partly. The multinational test and the 2-year expectation for specialized knowledge belong to the general ICT category. ICTs under a free trade agreement follow that agreement’s own rules, which IRCC also updated on October 1, 2024. Whether you can use one depends on the nationality of both the employee and the foreign employer.

Agreements with ICT rules include CUSMA, CETA (EU), CPTPP and bilateral agreements such as those with Chile, Colombia, Korea, Panama, Peru and the UK. Compare them in the free trade section of our Intra-Company Transfer work permit guide, or read our guides to CUSMA work permits and CETA for EU companies.

Not a free pass

Officers still check that the job is genuine and the Canadian company is real. Under some agreements no wage test applies to specialized knowledge, but low pay can still suggest the knowledge is not truly specialized.

Who is affected

Who do the new ICT rules affect most?

The changes hit some companies much harder than others. Find the one that sounds like you.

01

Startups

Blocked

Why

For startups and companies that only operate in their home country: without operations abroad, the general ICT is closed for opening in Canada.

What works instead

The C11 owner-operator permit, a free trade agreement route if you qualify, or expanding to a second country first.

02

First Canadian office

Harder

Why

For small multinationals opening their first Canadian office: the new-office permit lasts only 1 year, and officers want stronger proof of premises and benefit to Canada.

What works

A detailed business case, signed premises, funding in place, and a plan for year two.

03

Established groups

Strong

Why

For established multinationals moving staff to an operating Canadian company: they already meet the multinational test and have real premises in Canada.

What works

Clear proof of the role’s level, the wage, and the employee’s specialized knowledge.

04

Families

Timing

Why

Since January 21, 2025, a spouse’s open work permit needs the ICT worker in a TEER 0 or 1 job (or an eligible TEER 2 or 3 job) with at least 16 months left on the permit. Dependent children no longer get open work permits.

What works

Under the general rules, a 1-year new-office permit is too short for a spouse’s open work permit, so plan the family’s status separately.

Next steps

What should you do now?

Use these four steps to see where you stand. For the full application process, see our Intra-Company Transfer work permit guide.

1 Test your company against the multinational rule

List every country where your company earns revenue, and show how the foreign and Canadian companies are linked by ownership and control. If your company only operates in its home country, the general ICT will not work for a new Canadian office.

2 Confirm the role and the wage

Match the job to its NOC code and TEER level. Check the prevailing wage on Job Bank and set pay at or above it. Confirm the employee has at least 1 year of full-time work with the company in the past 3 years, or 2+ years for specialized knowledge.

3 Build the evidence file

Assumptions no longer work. Prepare the Canadian premises lease, a business plan, organization charts, payroll and tax records, and proof of the benefit to Canada. For specialized knowledge, document exactly what the employee knows that others in your industry do not.

4 Pick the right route

If the ICT no longer fits, compare your options before you commit. Start with our C11 vs ICT comparison, then look at the C11 work permit, an LMIA or the Global Talent Stream.

FAQ

Questions about the new ICT rules

Can a startup still use the ICT to open in Canada?

Not under the general ICT if the company only does business in its home country. IRCC says a company cannot use the ICT to become a multinational. Startups usually look at the C11 owner-operator permit instead. If you are a citizen of a free trade partner country, your agreement may give you more room, so get advice on your facts.

What counts as a multinational company?

A company that earns revenue from business operations in at least one country other than its home country. The foreign and Canadian companies must be linked by ownership and control, as a parent, branch, subsidiary or affiliate. Contracts, licences, franchises and small shareholdings do not count.

Did the 2-year rule replace the 1-year rule?

No. Every ICT still needs at least 1 year of full-time work with the company in the 3 years before applying. For specialized knowledge, officers now generally expect 2 or more years, depending on the industry. Less is accepted only in rare cases.

Can an ICT employee work remotely from Canada?

The employee must work at the Canadian company’s physical business premises. If the job could be done from abroad, you need a reasonable explanation of why it must be done in Canada. A time-zone difference does not count.

How long does a new-office ICT permit last?

Up to 1 year. IRCC does not extend it unless something outside your control caused a delay, and then only for up to 6 more months. Plan how the employee will stay after year one before you apply.

Do the changes affect ICT renewals?

Yes. Officers apply the current instructions to new applications and extensions. Executives should hold TEER 0 roles that direct the organization, and managers TEER 1 roles that manage staff or a key function. Officers also look at whether the Canadian company is large enough to need the role.

Can my spouse get an open work permit if I come on an ICT?

Possibly. Since January 21, 2025, your job must be in TEER 0 or 1 (or an eligible TEER 2 or 3 occupation) and your permit must have at least 16 months left when your spouse applies. Dependent children no longer qualify for open work permits.

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