Proposed Changes to the SR&ED Program Will Make It Easier for Companies to File
During tough economic times, companies need to take advantage of internal sources of financing in order to survive. One source of financing, which few companies are aware of, are the tax credits you can receive from the federal government for R&D work conducted in the past 2 fiscal years. The Scientific Research and Experimental Development […]
Salary or Wages Performed Outside Canada Now Qualify for SR&ED
The Scientific Research and Experimental Development (SR&ED) tax incentive program awards up to a 35% tax credit on eligible research and development expenses. In the past, only labour performed within the geographical boundaries of Canada qualified for the SR&ED program. However, as a result of the 2008 Federal Budget, claimants can now earn SR&ED investment tax […]
How Will The Federal Election Impact the SR&ED Program?
[ Image courtesy of the Toronto Star ] During the Leaders’ english debate on October the 3rd, one issue that was broached was the federal SRED (Scientific Research and Experimental Development) business incentive program. Under the existing federal SR&ED program, non-profitable corporations with large revenues may receive research and development tax credits that cannot be applied. Liberal leader […]
Look For Alternative Forms of Financing
The cost of borrowing money just went up. Unlike their US counterparts, Canadian banks that held positions in high-risk US mortgages will likely not receive a bail-out package. The net impact of the mortgage crisis is that Canadian banks will have to increase their lending rates to make up for their losses. This is a […]
What Work Qualifies for SR&ED
When deciding whether to gather sr&ed information and make a sr&ed claim many companies often wonder what types of work qualifies for sr&ed tax credits. A sr&ed project is defined by the Canadian Revenue Agency as “a set of interrelated activities that collectively are necessary for the attempt to achieve the specific scientific and/or technological […]
R&D is booming in Alberta
Most Canadian provinces top-up the federally-funded Scientific Research and Experimental Development (SR&ED) tax credit. In the past, Alberta has trailed the rest of Canada in its support of research and development. Up until now. It seems that Alberta has finally caught up with the rest of Canada with their announcement of a 10% SR&ED tax credit top-up. The Alberta […]
Effort Vs Return
From the Ask an Expert Mailbag! The question, are SR&ED Tax Credits worth the effort you put into them? Here we try to answer that all important question. Preparing a sred claim can be a time consuming process requiring the gathering and refinement of large quantities of information in order to produce a high quality […]
Cutting costs without sacrificing the future
In times of recession, many companies cut down on costs. But unless you’re facing bankruptcy, cutting costs may come at the cost of sacrificing future sales. For instance, to make the bottom line look better, you could always downsize R&D efforts. This may make the current quarter look more profitable. However, the lack of R&D may […]