The Scientific Research and Experimental Development (SR&ED) Program

The program concept is simple. If we can demonstrate that the work you do is SR&ED-eligible, and if you meet certain criteria – such as being a privately-held company, detaining less than $50M in capital, and having a taxable income of less than $500,000 per year – then in Ontario, for example, you will earn back c.65% of the salaries that you pay out. The amounts vary depending on the province and are paid via Federal and Provincial government cheques. In Ontario, the same work would also yield c.65% in credits. In addition, we recover a significant portion of the money that your firm has spent on contracts, sub-contracts, and materials.

To what extent does your work qualify? That’s where the SKYMAX team steps in. We demonstrate on your behalf that the work you have done meets the following three criteria:

  1. Technological Advancement was sought;
  2. Technological Obstacles were encountered; and,
  3. Systematic Investigation was carried out.

SR&ED-eligible work likely exists in any of the following:

  • Creation or improvement of materials, devices, products, or processes;
  • Applied research to advance scientific knowledge with a specific practical application in view;
  • Basic research to advance scientific knowledge without a specific practical application in view; and,
  • Support work in engineering, design, operations research, mathematical analysis, computer programming, data collection, testing, or psychological research, but only if the work is related to and directly supporting the work described above.

For more information, please visit the Canada Revenue Agency’s web site for a comprehensive overview of the Scientific Research and Experimental Development (SR&ED) program.

https://www.cra-arc.gc.ca/txcrdt/sred-rsde/menu-eng.htmlhttps://www.canada.ca/en/revenue-agency/services/scientific-research-experimental-development-tax-incentive-program.html