Category:

CRA Updates

May 5, 2016

Say goodbye to the RFI: the CRA is bypassing the first step in your SR&ED review

The CRA has quietly made changes to their SR&ED review procedures with no formal announcement. CRA reviewers are now bypassing the Request for Information (RFI) stage and going straight to the onsite meeting. The RFI has long been one of the first forms of contact a claimant will receive from the CRA to indicate that Read more…

April 26, 2016

Recent Tax Court Ruling a Cautionary Tale for SR&ED Review

One of the major benefits of using a consultant to handle your SR&ED claim is they can properly prepare you for a review. A CRA reviewer will look to the tax payer for further documentation and answers to their questions, but a consultant can help you prepare the necessary materials and help you anticipate the Read more…

March 14, 2016

Recent Tax Court Case Admonishes CRA For Lack of Negotiation With Claimant

Whether or not oral evidence is sufficient to support your SR&ED is an issue that arises again and again in CRA audits. Related decisions from the Tax Court of Canada are varied but more often than not, it is upheld that credible oral evidence can be a substitute for documentary proof. Nevertheless, oral evidence on Read more…

February 5, 2016

Rating your CRA Technical Reviewer

There is no denying that the CRA is cracking down on SR&ED claimants. This year alone they have hired around 100 new technical reviewers to extend the audit process to include more claims and companies. They have also tightened eligibility criteria multiple times in past years. Approximately 30% of claims submitted will undergo a review, Read more…

September 1, 2015

Avoid a Terrible Review With These Four Tips

The Scientific Research & Experimental Development (SR&ED) landscape as we knew it pre-Jenkins report era has changed significantly in the last few years. In other words, the Canada Revenue Agency (CRA) is selecting many more firms for reviews, even those companies that are used to getting their SR&ED claims accepted as filed for decades.  The Read more…

May 5, 2015

Tax Credit Reform: What you need to know about OIDMTC

On April 23, 2015, Finance Minister Charles Sousa announced the Ontario budget, which, along with beer and transit reform, is outlining new rules for the Ontario Interactive Digital Media Tax Credit (OIDMTC). The proposed changes focus on overhauling the program’s primary purpose test and 90 per cent rule. OIDMTC, introduced in 1998, is a program Read more…

December 28, 2012

CRA Announces the first Release of the SR&ED Policy Review Project

Another piece of the SR&ED puzzle has been put into place as the CRA releases part of the SR&ED Policy Review Project. In November of 2010, the Government of  Canada tasked the CRA to take a closer look at the administrative procedures and policies of the Scientific Research and Experimental Development Tax credit program. To give a proper and just Read more…

December 14, 2012

CRA Announces Improved Objection Process for SR&ED Claims

In an effort to make the SR&ED Tax Credit program more consistent with other programs offered through the CRA, the agency issued significant changes to the Review Process for Notice of Objections earlier this week. The SR&ED world is excited about these advancements, and how this further enhances the process for claimants. The announced changes to the Notice of Objection Read more…