Scientific Research and Experimental Development (SR&ED) tax incentives
Businesses doing eligible research and development in Canada can earn an investment tax credit, claimed with their income tax return.
Run by: Canada Revenue Agency
Type: Tax credit
Where: Canada-wide
Funding: 15% basic rate; 35% for most CCPCs and ECPCs up to a $6 million expenditure limit (tax years beginning after December 15, 2024), 15% above it; 100% of the 35% credit on current expenditures is refundable for CCPCs up to the limit
Business size: Enhanced rate for most Canadian-controlled private corporations (CCPCs) and, for tax years beginning after December 15, 2024, ECPCs; for CCPCs the limit shrinks from $15 million of prior-year taxable capital and reaches nil at $75 million
Deadline: For corporations, generally 18 months after the tax year end
Related programs
NRC Industrial Research Assistance Program (IRAP) financial support
Technology-driven small and medium businesses can get project funding and advisor support to research, develop and commercialize products and services.
Innovative Solutions Canada
Small businesses can compete on government-set challenges to build prototypes, or have the government buy an innovation to test it in real settings.
Venture Development Grant
High-growth Alberta technology ventures can get a cost-shared grant; this program replaced the Alberta Innovates Voucher Program.
Innovation Employment Grant
Corporations doing research and development in Alberta can claim a grant through their corporate tax return.