OECD Economic Survey: Research and Development Outlook in Canada
The Organisation for Economic Co-operation and Development (OECD) released the June 2012 results of the OECD Economic Surveys for Canada’s macro-economic state of affairs. The report indicates that the economy is picking up, with a positive outlook for continued moderate output growth and inflation. The OECD also cites innovation as a priority on the government’s […]
Ownership and Its Impact on SR&ED- CCPC versus Public-Owned or Foreign-Owned Corporations
In the recent case “Price Waterhouse Coopers Inc., agissant ès qualité de syndic à la faillite de Bioartificial Gel Technologies (BAGTECH) Inc. v. The Queen,” the Tax Court of Canada ruled in favour of Bagtech that it qualified as a Canadian-controlled Private Corporation (CCPC). Even though more than 50% of Bagtech’s voting shares were owned by […]
SR&ED Addressed by the Provincial Budgets of Western Provinces
The three western provinces have each addressed SR&ED in their respective 2012 provincial budgets. Alberta has enhanced their SR&ED program by $25 million, Saskatchewan has reduced their SR&ED program, and British Columbia did not make any changes to their SR&ED program. To follow is a summary of their proposed changes: Alberta Enhances Investment in SR&ED […]
NorthBridge Featured in Canadian Tooling & Machining Association Magazine
NorthBridge Consultants was featured in Canadian Tooling and Machining Association’s spring 2012 edition. The article, entitled “Strengthening your SR&ED Claims with Documentation,” emphasized the importance of contemporaneous project documentation and financial documentation requirements in order to adequately support a SR&ED claim. A well-supported, clear, and concise claim is often processed faster and is less likely to be scrutinized […]
CMC Urges Federal Government to Reconsider Changes to SR&ED Program
In a letter to Finance Minister Jim Flaherty, the Canadian Manufacturing Coalition (CMC) addressed concerns about recent changes to the SR&ED program. 1. Reducing the SR&ED Investment Tax Credit (ITC) rate from 20% to 15% will directly and negatively affect Canada’s top R&D performers. 2. Eliminating capital expenditures from eligible expenses will significantly and negatively […]
Changes to the SR&ED Program
The Scientific Research and Experimental Development (SR&ED) tax incentive program provided $3.6 billion in tax assistance for research and development in 2011. In the past year, the SR&ED program was reviewed by an Expert Panel which presented a series of recommendations to the federal government. As a response to the recommendations of the Expert Panel, the […]
Is Entrepreneurship Waning in Canada?
The Globe and Mail recently addressed the fact that in recent years, the relative impact of self-employment across Canada has been waning. Self-employment has always been an important feature of the Canadian economy; the OECD lists Canada as one of the highest concentrations of entrepreneurs within a working population. However in recent years, the ratio of […]
SR&ED Program Encourages Li-ion Motors Corporation to Collaborate with Canadian Company
Li-ion Motors Corporation has announced that they will make plans for additional collaboration with Canadian firm Lithium Electric Vehicle Corporation (LEVC) to take advantage of Canada’s Scientific Research and Experimental Development (SR&ED) program. Li-ion’s fully electric vehicles (the Inizio and the Wave), along with their battery-management and electric propulsion technologies, are technological advancements over the traditional fuel-powered vehicles. The […]
Harper Government Strengthening Canada’s Science and Technology Advantage
During a speech today at the Creative Economy Summit, the Minister of State for Science and Technology, Gary Goodyear, announced that Canada will continue to make key investments in science and technology. “Through our government’s science and technology strategy, we are keeping our economy strong, creating high-quality jobs and ensuring Canada is a premier destination […]
Ontario Insists on Local Content for Renewable Energy
In an interview with Reuters, Energy Minister Chris Bently refused to alter controversial rules that require local content for all projects. The FIT review will be complete by the end of March, and it is expected that cuts will be made in the generous government subsidies that have previously jumpstarted renewable energy businesses in Ontario. […]