Scientific Research and Experimental Development (SR&ED) is a government incentive program to promote R&D in Canada.
The Canadian government delivers over $3 billion per year in Investment Tax Credits (ITCs) to innovative companies. ITCs can come in the form of refundable credits (cash) or pre-paid taxes.
SR&ED applies to any field of science or technology, where a company attempts to bridge a knowledge gap in the underlying science or technology.
What is the basic process?
Any field of science or technology is eligible, if the work resolves a technological uncertainty.
Returning up to 41.5% of costs back to the claimant, the SR&ED program is a key competitive advantage.
There’s no budgetary cap on SR&ED credits. If you meet the program criteria, you are eligible to receive the credits.
Historical & Retroactive
Costs must be incurred, and then a claim can be submitted up to 18 months past the Fiscal Year End.
Is my project eligible?
- Was there a Scientific or Technological Uncertainty?
- A technological uncertainty occurs when there is no appropriate solution to a problem using techniques previously validated for that purpose.
- Did you take a systematic investigation to tackle the uncertainty?
- You undertake an experiment or use the scientific method to investigate a solution. This demonstrates an intent to gain new understanding of the science or technology.
- Contact us for a complementary scoping session of your project. Our Technology Advisors can qualify your project at no cost.
Strong Indicators of SR&ED Eligibility
- There is no validated technology in your industry to solve a problem
- You employ high-powered technical teams
- You create prototype units or products for testing purposes only
- You attempt new technology that exceeds current industry performance standards
- You are eligible to receive other government funding for technology development (e.g. IRAP)
- Your work is patentable (whether you patent it or not)
- Your technology is written up (or could be) in trade or peer-reviewed journals
- You make technical presentations at conferences
- Your work requires a systematic investigation to develop new techniques