1 / 10

Understanding Different Types of SR&ED Funding

SR&ED funding encompasses diverse financial incentives for research and development in Canada. Refundable tax credits offer immediate cash benefits regardless of profitability, while non-refundable credits offset tax liabilities. Provinces and territories offer additional incentives, complementing federal programs. Understanding these SRED funding avenues enables businesses to strategically leverage resources, driving innovation, economic growth, and long-term success. For more, visit us at https://www.sauconsulting.ca/our-services/sred/

consultingsau
Download Presentation

Understanding Different Types of SR&ED Funding

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Understanding Different Types of SR&ED Funding www.sauconsulting.ca

  2. Introduction SR&ED (Scientific Research and Experimental Development) funding is a program in Canada designed to incentivize research and development activities by providing tax incentives and funding to eligible businesses. There are several types of SR&ED funding available:

  3. SR&ED Tax Credits • This is the most common form of SR&ED funding. Eligible businesses can claim a tax credit on qualified SR&ED expenditures, including wages, materials, overhead, and subcontractor costs directly related to R&D activities.

  4. Investment Tax Credits (ITCs) • SR&ED-eligible corporations may receive a tax credit that can be used to reduce income tax payable or refunded in cash. The tax credit rate varies depending on the type of business and the nature of the expenditure.

  5. Provincial Funding Programs • Some provinces in Canada offer additional funding and incentives for SR&ED activities on top of the federal program. These programs may include grants, loans, or tax credits specific to each province.

  6. Partnership Grants • In some cases, businesses may collaborate with research institutions or universities on R&D projects. These partnerships can sometimes lead to additional funding opportunities through government grants or collaborative research programs.

  7. Strategic Innovation Fund (SIF) • This fund supports large-scale, collaborative projects aimed at fostering innovation and growing Canadian businesses. It provides funding for projects in various sectors, including advanced manufacturing, clean technology, and digital industries.

  8. Innovation Assistance Program (IAP) • This program provides non-repayable contributions for innovative projects in Canada. It is aimed at small and medium-sized enterprises (SMEs) and offers funding to support pre-commercialization activities, such as R&D, testing, certification, and demonstration.

  9. SR&ED Program Refunds • If a corporation is a Canadian-controlled private corporation (CCPC) and meets certain criteria, it may be eligible for a refundable SERD tax credit. If the corporation has no tax liability against which to apply the credit, it can receive a refund.

  10. Contact Us ADDRESS • Suite 2010,777 – 8th Avenue SW, Calgary, Alberta, T2P 3R5 • EMAIL • info@sauconsulting.ca • PHONE • (587) 284 3266

More Related