Canada's SR&ED (Scientific Research & Experimental Development) program is one of the most generous R&D tax incentives in the world — refunding up to 35% of qualifying expenditures for Canadian-controlled private corporations (CCPCs).
This guide covers how custom software projects qualify, what the CRA looks for, how arm's-length subcontractor costs are treated, and how to structure your engagement so that SR&ED eligibility is built in from day one.
What's inside
- • What qualifies as SR&ED-eligible software work
- • CRA's criteria for technological advancement and uncertainty
- • Arm's-length subcontractor rules and the 80% claimable amount
- • How capitalization and SR&ED credits work together
- • Maximum refundable credit rates for CCPCs
// typical consultant
Applying known methods
// our work
Advancing the state of knowledge
// SR&ED treatment is separate from capitalization — you can potentially do both. Ask your accountant. This isn't tax advice.
// download the whitepaper
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