The Scientific Research & Experimental Development Program involves Federal and Provincial tax credits for qualified research and development undertaken in Canada.
Incentives related to scientific research have been available in Canada for 70 years. As with all areas of tax administered in Canada, related policies have evolved. In particular the policies related to SR&ED have continued to further define, refine, and to some extent tighten the parameters of eligibility criteria via tax reforms, interpretation folios, and policy amendments.
Despite the complexity of the process, tax incentives available to Canadian innovators engaged in Scientific Research and Experimental Development are significant enough to keep individuals and corporations filing SR&ED claims. For qualified Canadian Controlled Private Corporations operating in Ontario, as much as $64.32 per every $100 of R&D salary expense is refundable.
Filing a claim is one small part of an extremely intricate process. Corporations must be aware of the record keeping requirements, must understand how the legislation impacts their R&D activities, how to prepare a complete claim, and in some cases defend their claim in order to realize the incentives.
Given the ever changing climate of the SR&ED tax incentive program, it is important that preparers adhere to a stringent methodology, to thoroughly document and record the SR&ED endeavors involved in each claim in order to realize success in the claim process.
Viner R&D Tax Specialists address these fundamental requirements in order for our clients to realize success in the incentive program.