1.877.753.2678 [email protected]

      Understanding the SR&ED Tax Credit

      Solving a technical problem may be necessary but it’s also expensive.

      When companies set themselves on the right path through research and development, they’re often forced to make sacrifices to cover these costs.

      As a result, some companies never clear technological hurdles, limiting their ability to compete and/or grow.

      This is where the federal government’s Scientific Research and Experimental Development Tax Incentive Program steps in to play a crucial role.

      Known simply as SR&ED, the program administered by the Canada Revenue Agency (CRA) provides more than $3 billion in tax incentives to more than 20,000 businesses each year.

      Businesses may recover up to 54% of T4 salaries, and 35% of contractor and material costs on projects involving scientific research and experimental development in Canada.

      When approved, applicants are paid through refund, an investment tax credit, or income tax deduction. You can expect payment is typically received between two to three weeks of the claim being approved. 

      SJE Consulting Ltd. has led many clients in a variety of industries from across Canada to successful SR&ED applications.

      “This program has been such an important avenue for our clients to recover these expenses spent to strengthen their technological capabilities and succeed in their respective markets,” says Steven Eddy, president of SJE Consulting Ltd.

      Many companies do not have the expertise or resources to negotiate the time-intensive and complex SR&ED claim process. SJE Consulting Ltd. requires only a single meeting to gather the information it needs to coordinate all aspects of this claim for you.

      “It’s a considerable relief to our clients knowing we have the experience and knowledge to navigate this process for them so they can focus on what they do best,” says Steven Eddy.

      Do you want to learn more about the program? Contact SJE Consulting Ltd. project manager Jason Adams at 877-753-2678 or [email protected]

      Written By Josh Skapin

      Josh Skapin is a project analyst for SJE Consulting Ltd. He has also been a professional writer for more than 20 years. Josh's work has appeared in the Calgary Herald, Calgary Sun, Edmonton Sun, Edmonton Journal, Red Deer Advocate, Vancouver Sun, and the Daily Oil Bulletin. He resides in Airdrie, Alberta with his wife, daughter, and Boston Terrier named Dexter.

      Posted to: SRED

      October 08, 2021

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