Are you getting your fair share?
Do scientific and technological advances help fuel your company’s competitiveness? Wish there was a way you could get back some of the money you’ve invested in R&D and innovation?
The Scientific Research and Experimental Development (SR&ED) program is a federal tax incentive program, administered by the Canada Revenue Agency, that encourages Canadian businesses of all sizes and in all sectors to conduct research and development in Canada that will lead to new, improved, or technologically advanced products or processes. The SR&ED program is the largest single source of federal government support for industrial R&D, providing over $5 billion in investment tax credits to over 18,000 claimants each year. Of these, about 75% are small businesses.
If your company qualifies, you may be eligible to get money back in the form of a refund, a reduction in taxes payable, or both, for expenditures such as wages/salaries in your payroll system, materials, machinery, equipment, overhead, capital expenditures, third-party payments, and SR&ED contracts. Certain expenditures for SR&ED performed outside of Canada are also permitted.
More than 50% of companies are missing out. Are you one of them?
Wondering if your organization qualifies? Confused about the type of projects that are eligible?
Any business operating in Canada that is involved in basic or applied research, or in developing new or improved materials, devices, products, or processes may be eligible under the SR&ED program. To qualify for the SR&ED program, work must advance the understanding of scientific relations or technologies, address scientific or technological uncertainty, and incorporate a systematic investigation by qualified personnel. A project does not have to succeed to qualify for the SR&ED tax credit. But, you only have a maximum of 18 months from the end of your fiscal year to submit a claim for SR&ED for that year.
Contact us today, we’ll point you in the right direction!
Jeffery Reynolds / Business Development Manager, Western Canada & USA / PEO Canada