WHICH WORK ACTIVITIES QUALIFY
Eligible technical work/projects include not just your products and installations, but also systems you have developed for others or even systems you have developed for your own internal use. Take a moment to consider the following:
- Are you developing or have recently developed a new product or process?
- Are you developing new technological process, software, or algorithm?
- Are you improving an existing product or process?
- Are you developing or improving a material (including food items)?
- Are you developing prototype equipment, system, or machine?
- Are you developing custom machinery, tool, or device (including for your own internal use)?
The technical advancement does not need to be ground breaking. Incremental improvements in a company's products or processes are eligible. In most cases, up to 68% of qualifying expenditures (e.g., wages) are refunded. The company does not even have to owe taxes to qualify for this subsidy. The government allows a company to claim SR&ED refunds retroactively, up to two last fiscal years.