RESEARCH AND DEVELOPMENT TAX INCENTIVES
IT'S YOUR CREDIT !
-Over 90% of applicants receive tax credits !
WHAT IS RESEARCH AND DEVELOPMENT ?
To qualify for CCRA tax incentives R&D must meet all of the following tests:
1. There must be a technological advancement in the standard practice or an advance in the technology of the business entity doing the research.
2. There must be a technological uncertainty facing the business entity requiring the research to be carried out.
3. The research must be undertaken in a systematic manner following a scientific method and be carried out by qualified personnel.
EXAMPLES A R&D ACTIVITIES WHICH MAY QUALIFY FOR TAX INCENTIVES
-developing a new product or process
-using or combing technology in new ways
-doing early stage research and development
-improving the environmental impact of your manufacturing process
-developing new equipment,machinery or tools
-investigating new materials
Generally, if new ideas are born, if new products are created, or if new products or processes are occurring then you qualify for tax incentives.
WHAT ARE THE TAX INCENTIVES ?
The tax incentives are in two forms, tax credits and deductions from taxable income.
1. Refundable tax credits
The federal tax credit for most corporations is 35% and may be fully refundable. Provincial tax credits range from 0 to 15%.
2. Deduction against taxable income
Qualifying R&D costs, including capital expeditures are fully deductible against taxable income. Amounts which are not required to reduce taxable income to zero can be carried forward indefintely thus preserving non-capital losses.
WHY HASN'T MY ACCOUNTANT TOLD ME ABOUT THIS ?
Your accountant is primarily concerned with producing accurate financial statements and filing your income tax return on time. To claim R&D tax incentives requires not only specialized cost accounting and tax knowledge but also requires excellent technical report writing and communication skills..... combined skills that not many accountants have !
HOW CAN WE HELP ?
We have the skills, knowledge and experience to claim the R&D tax incentives which you are entitled. Our services include:
-free evaluation of your claim potential
-assistance in technical report preparation
-cost accounting of eligble costs
-preparation of tax credit claim
-amendement of corporate tax return if required
-audit assistance
-Contigent fees....we don't collect unless you do !
CALL 1-866-MYTAXES TO DISCUSS YOUR CLAIM POTENTIAL !