Experimental development Work undertaken for the purpose of achieving technological advancement for the purpose of creating new, or improving existing, materials, devices, products or processes, including incremental improvements More than 85% of SR&ED claims fall under experimental development Applied research Work undertaken for the advancement of scientific knowledge with a specific practical..

How A systematic investigation or search that is carried out in a field of science or technology by means of experiment or analysis Why To advance scientific knowledge through basic or applied research or achieve technological advancement through experimental development

SR&ED activities conducted in Canada by or for you SR&ED is related to your business Expenditures are incurred Corporations need to file a full claim within 18 months

1. Deduction of expenditures to reduce tax liability can be carried forward indefinitely 2. Investment tax credit 35% for CCPC(Canadian-controlled private corporation) - graduated after 10M taxable capital value 15% for non-CCPC

$3 billion in investment tax credits provided every year 60,000 R&D projects 20,000 claims 30% of claims are selected for review or advisory services 90% of claims are accepted with little or no change

The Government of Canada provides Tax Incentives to encourage Canadian companies of all sizes and in all industry sectors to conduct SR&ED all sizes and in all industry sectors Allows businesses to take risks and invest in Research and Development take risks and invest Provides a significant source of support for those seeking to innovate Tax Incentives