As one of the largest government funded tax incentive programs, the SR&ED program is designed to encourage Canadian businesses of all sizes and sectors to conduct more research and development within their fields, while also creating new jobs for Canadians.
Providing over $4 million to about 18,000 claimants each year, the SR&ED program offers financial support to businesses that are working to advance and innovate their respective industries. With generous returns covering anywhere between 15% and 41.5% of a business’ eligible expenses, your small business can benefit from a SR&ED claim, too.
Wondering how your small business can qualify for or submit a claim? At CI Solutions, we offer advanced SR&ED consulting services to clients that operate in the research and development field. Backed by years of experience, our specialists work to ensure that your small business files an adequate claim which maximizes your funding and tax credits. Keep reading below to learn more about how a SR&ED consult can benefit your small business.
Helps You Understand How The SR&ED Program Works
For those who are unfamiliar with the SR&ED program, the process and guidelines can easily come off as intimidating or confusing. However, that shouldn’t stop your small business from applying. As a small business owner, we understand that you already have a lot on your plate; so while you may have some time to perform a quick Google search on what the SR&ED program is, it’s likely that you’ll have still have some pressing questions left.
Our team of specialists at CI Solutions have the knowledge and experience to help you gain a better understanding of the program. Not only will we answer any questions you may have during your consultation, we’ll also inform you of how the process works, in addition to any guidelines or eligibility criteria you may not know of.
Helps Save You Time
There’s nothing worse than attempting to file a SR&ED claim yourself, only to find out that your small business isn’t eligible. Unlike filing taxes, filing a SR&ED claim for your small business is a much lengthier process. That’s why it’s recommended that you consult with a SR&ED specialist prior to submitting your claim.
Additionally, as specialists in this field, we know exactly what the CRA is looking for in your small business’ claim. When you trust our reputable consultants, you can take all the guesswork out of your SR&ED claim and rest assured knowing that you’ll receive the best return possible.
Helps Save You Money
Did you know that the SR&ED program can help your business to recover anywhere between 15% and 41.5% of its eligible expenses? This includes everything from overhead costs to costs of materials, costs of contractors, and even costs of labour. While SR&ED tax credits can vary slightly depending on the business and industry your business is in, most small businesses are still able to avail of tax credits.
Other financial advantages to a successful SR&ED claim include:
- Obtaining a Full Tax Deduction – Does your small business engage in qualifying research and development efforts? You can obtain a full tax deduction for its expenditures in the year that it was incurred. With a SR&ED consult, you could find out that your business is eligible to obtain this tax deduction – even if these are capital expenses. Since these generous tax credits could significantly reduce the cost of your research and development efforts, your small business will have more financial freedom to push the boundaries of innovation.
- Pooling Qualifying Expenses – When your small business has successfully claimed its SR&ED tax credits, you’ll have the option to either receive them immediately, or alternatively, carry them over to the years following. Not only does this enable your small business to better budget its funds, it will also lower your overall costs for research and development – ultimately, helping you save more.
- Receiving Investment Tax Credits (ITCs) – Reduce the amount of income taxes that you pay dollar for dollar when you qualify to receive investment tax credits. Since ITCs can be obtained as cash refunds, you’ll be eligible to get money back from the government even if the amount of credits that you have, exceeds the amount of money you owe in income taxes.
Equipped with the knowledge and experience you need to file a successful SR&ED claim, our specialists at CI Solutions are ready to help your business unlock savings so that you may continue innovating.