Your SR&ED questions, answered.

The Scientific Research and Experimental Development (SR&ED) program is a federal tax incentive that encourages Canadian businesses to conduct R&D. Eligible companies can claim refundable or non-refundable investment tax credits on qualifying expenditures.

Any Canadian business performing work to achieve a technological advancement that involves scientific or technological uncertainty may qualify. This spans industries from software and biotech to manufacturing and agriculture.

Eligible expenditures typically include: salaries and wages for employees engaged in R&D, contractor payments (at 80%), materials consumed in R&D, and certain overhead costs calculated using the proxy method.

CCPCs can receive up to 35% as a refundable federal credit on the first $3M of eligible expenditures (subject to taxable capital limits). Provincial rates vary. Our calculator gives you a quick estimate.

SR&ED claims must be filed within 18 months of your fiscal year-end. For example, if your year-end is December 31, 2024, you have until June 30, 2026 to file.

CRA reviews are common. Wavecrest provides free audit defense for all clients - we handle inquiries, prepare documentation, and advocate on your behalf at no extra cost.

Processing times vary. Simple claims may be processed in 60-120 days. More complex claims or those selected for review can take 6-12 months.

Yes. Government grants often reduce your SR&ED-eligible expenditures, but you can still claim credits on the remainder. Strategic stacking is key - something we help clients optimize.

We charge a transparent, success-aligned fee based on the refund you receive. No hourly surprises, no hidden costs. Contact us for a specific quote.

No. In fact, many startups are pre-revenue when they claim SR&ED. CCPCs often receive refundable credits even with no taxable income.