What is the SR&ED Program
The Scientific Research and Experimental Development (SR&ED) program is a federal tax incentive program offered by the Canadian government to recover from 28% up to 82% of qualifying expenditures.
These incentives, received in the form of tax refunds or tax credits, are meant to encourage Canadian businesses of all sizes, and in all sectors to conduct research and development (R&D) in Canada, leading to new or improved products and technological processes.
These R&D tax credits can be a tremendous source of financial support for Canadian companies. However, our experience has shown that many companies, of all sizes and across different industries have no knowledge of the program, how to apply the program guidelines or defend a claim for their specific situation.
Key Features
- Refundable tax credit from 28% up to 82% of qualifying expenditures.
- A Canadian-controlled private corporation (CCPC) can earn an investment tax credit (ITC) of 35% up to the first $3 million of qualified expenditures for SR&ED carried out in Canada, and 20% on any excess amount.
- Other Canadian corporations, proprietorships, partnerships, and trusts can earn an ITC of 20% of qualified expenditures for SR&ED carried out in Canada.
- Additional provincial credits, ranging from 4.5% to 37.5% depending on taxable income and province.
- An immediate deduction for all R&D related labour, material, capital and certain overhead costs.
Eligibility
- Wages and salaries
- Material
- Sub-contractor expenditures
- Overhead costs
- Capital expenditures
- Equipment leases
Our Added Value
- Highest standard of claim preparation : Our technology experts on staff will select and qualify all eligible projects within stringent program guidelines
- Ensuring maximum claim recovery on your R&D investment : Our expertise is based on the accumulated knowledge from thousands of prepared claims, as well as on shared best practices drawn form over 4,000 clients served annually worldwide.
- Delivering peace of mind : Expert guidance and hands-on approach at every step in the event of an audit.
