SR&ED in Canada was a key part of the country’s growth during the industrial revolution. Did you know that Industrial tax incentives in Canada have been in place since at least 1944?
1944-1986 Traditional tax deductions and tax credits for R&D are introduced.
1987-1993 Moderated abuses and a more simplified administration introduced.
1994-Present Clarified definition of experimental development, broadened eligibility re: Qualified Small Businesses, allowed proxy calculation for overhead, conducted major review in 1998, simplified forms, conducted major review in 2010.
Oct 2011 The Canadian government commissioned an expert panel (The Jenkins panel) to conduct a comprehensive Review of Federal Support to Research and Development.
The SR&ED program is intended to encourage businesses of all sizes, particularly small to medium and start-up firms, to conduct research and development (R&D) that will lead to new, improved, or technologically advanced products, processes, devices, and materials. The Canadian SR&ED tax incentive is the government’s largest single support program for R&D. Each year the SR&ED program provides over $4 billion in investment tax credits (ITCs) to over 18,000 claimants. Of these, about 75% are small businesses.
SR&ED in Canada is part of our traditions. Don’t let your tax credits go to waste. Contact BeneFACT today for more information on how we can maximize your SR&ED claim.