Welcome to SR&ED Resource: The R&D Tax Credit Blog!

Here it is. The first of what I hope will be many postings on the gripping topic of SR&ED. Fine, I'll admit that R&D tax credit may not be the most riveting of subjects, but if you are a business owner or manager, knowing more about it is certainly lucrative. Once you find out that, in Quebec for example, you can recover up to 82 cents for every dollar spent on wages for qualified projects (in addition to expenditures in materials, machinery, equipment, some overhead, and SR&ED contracts), the coolness factor of SR&ED suddenly grows. (In fact, word on the street is that all the hip executives are claiming, so if you’re not one of them, you should consider getting in on the action). Canada boasts one the most generous R&D incentive programs on the planet, and not taking advantage is a missed opportunity.

Regrettably, claiming your R&D tax credits isn’t always self-evident. Producing a claim can be a mystifying and complicated process, full of gray areas and guidelines that can easily be misinterpreted. Specific expertise relating to the program and relevant technology is often needed in order to get a maximal return. A new claimant always has many questions. Is my project eligible? What do I need to put in my technical description? What expenses can I claim? Did I claim all the credit that I was entitled to? What kind of documentation is required? How do I keep track of R&D work? What happens in a Canada Revenue Agency audit?  These and many other issues will be addressed in this blog. Advice, hints, tips, definitions, clarifications, program news and updates, SR&ED seminar dates and locations will all be made available to readers. Of course, years of experience and acquired knowledge simply can't be imparted via a blog, and the best way to ensure that you get an optimal return remains to work with an expert.

Good reading!

M

TODAY'S SR&ED DEFINITION:

SR&ED (Scientific Research & Experimental Development): The Scientific Research and Experimental Development (SR&ED) program is a federal tax incentive program designed to encourage Canadian businesses of all sizes and in all sectors to conduct research and development (R&D) 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 research and development.

For more information on the SR&ED program, visit www.quadris.ca