Tax Refunds Canada - SR&ED Consultants

SR&ED - Canadian Government refunds / tax credits incentive program

• The SR&ED government tax credit incentive program
• Eligibility for the SR&ED claims
• Qulified expenses for the SR&ED claims
• The SR&ED refund submission process
• Frequently asked questions about SR&ED Canadian Government refunds / tax credits program

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The SR&ED government tax credit incentive program

The SR&ED (Scientific Research and Experimental Development) government refunds program  reimburses companies for expenditures related to shop-floor experimentation and R&D. SR&ED is  a Canadian government incentive program and has been administered by the Canada Customs and Revenue Agency (CCRA) since the 1980’s. Canadian companies  may receive funding to cover up to 68% of qualified expenditures.  Expenditures include your time, employee labor, materials and equipment, regardless of whether you have paid any tax.

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Eligibility for the SR&ED program

• Registered and operating business in Canada
• Encounter technological difficulties or challenges (difficult custom projects, new areas of activity, new product development etc’)
• Uncertainty in how to overcome technological difficulties
• Undertaking of systematic experimentation process to overcome the challenges.
• Success or failure of the R&D is not a factor, and each stage of product/process modification may qualify for a separate claim.

• [Find more about How to Qualify for the SR&ED government refunds / tax credits incentive program]

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Qualified expenses for the SR&ED claims

• Employee wages, sub-contracts and owner’s labor represent the bulk of the claims expenses
• Materials and capital expenses are also allowed in claims if these materials and expenses were used only in eligible projects.

• [Find more about the SR&ED tax credit claims process]

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The SR&ED refunds / tax credits incentive program submission process

• When submitting a SR&ED claim for the tax credit, Tax Refunds Canada - SR&ED Consulting Services company will prepare a detailed technical report describing your project, and the development or experimentation performed. The ability to properly describe and qualify various activities is crucial to assure substantial refund. This is where the engineering background of our technical writers is of high value. Knowing which projects qualify and being able to describe them in a highly technical and accurate language has a direct effect on the size of your SR&ED refund.
• Tax Refunds Canada financial consultants will also prepare all the tax schedules and accounting reports detailing the costs associated with the project. A properly prepared report is essential for your submission to be accepted. Tax Refunds Canada carefully considers every detail of your SR&ED claims for accuracy and effectiveness. You are welcome to review your cash refund / tax credit claims prior to filing.

• [Find more about how Tax Refunds Canada can help you in the SR&ED claims process]

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Revised: November 13, 2009