As you can see, there are many types of projects that are or may be eligible for SR&ED in the food and beverage industry, and regardless of the project focus of your SR&ED claim, it is essential to assess what information in your quality assurance and food safety documentation may help complete or substantiate your eligible costs and project progression. This article is meant to help you understand possible SR&ED costs for your company, but remember that SR&ED projects can span many different types of development work, including new product development, increased capacity and capabilities, new or modified packaging, ingredient reduction or elimination, functional product removal, new testing methods, equipment development and shelf-life experimentation, among others. The most important thing to remember is that any eligible SR&ED project must be substantiated by thorough and complete documentation, capturing all incurred expenditures.
With such a wide range of possible projects, the CRA’s SR&ED tax credit program can have significant tax implications for your business, and understanding eligibility can have a large impact on the success of your claim. With $3.6 billion in tax assistance provided in 2012 alone, ensure that you are receiving your slice of the pie.
DesRoches is a technical writer and client manager at NorthBridge Consultants, a professional consulting firm in Canada that assists companies secure grants, tax credits, and alternative financing from government agencies. Reach him at [email protected].
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