The annual Hamilton region SR&ED practitioner’s workshop will be held at the Burlington Convention Centre on Wednesday, September the 25th, 2013.
Topic: A review and discussion of major developments regarding SR&ED tax credits.
- Recent SR&ED cases
- AirMax – informal appeal
- CalAmp – bonuses linked to SR&ED
- Lyrtek – CCPC status and defacto control
- Immunovaccine – government assistance and SR&ED
- New SR&ED measures
- New CRA procedures
- SR&ED examples
Location: Burlington Convention Centre 1120 Burloak Dr.
Date: Wednesday, September 25, 2013 (4-6pm)
The Minister of National Revenue, Kerry-Lynne D. Findlay met with community and business leaders this week to discuss key measures available to Canadian farmers and SMEs in the agri-business sector. Key measures identified included:
1. The Hiring Credit for Small Businesses (HCSB)
2. The Apprenticeship Job Creation Tax Credit
3. The Scientific Research and Experimental Development Program (SR&ED).
The SR&ED program allows agricultural producers to access investment tax credits (ITC) earned on contributions made to agricultural organizations that fund SR&ED. Canadian-controlled private corporations, including agri-business, can earn a refundable ITC of 35% on up to $3 million in qualified SR&ED expenditures for SR&ED carried out in Canada.
The Crédit d’impôt pour un projet de recherche précompétitive en partenariat privé, or tax credit for a pre-competitive research project through a private partnership, encourages smaller firms to partner with larger firms, in order to keep R&D in Quebec. As long as one of the partnering firms is in Quebec, the smaller firm gains access to greater resources for R&D investment while retaining the intellectual property. The larger firm, on the other hand, gets to claim an additional 35% tax credit above and beyond SR&ED. Those additional credits are applied to whatever R&D costs might remain after the partnering businesses receive their SR&ED tax credit.
Several changes to the SR&ED program proposed during the 2014 budget will be fully implemented in 2014. The changes that will be effective January 1, 2014 include:
- A general rate reduction from 20% to 15%.
- Removal of capital expenditures as a SR&ED-eligible expense.
- Overhead proxy reduced from 60% in 2013 to 55% in 2014.
Ottawa startup Gnowit is one of four Canadian companies that has been selected to attend the UK Trade & Investment’s second annual Global Adventure Competition which is effectively a trade, investment and mentorship mission. Gnowit’s technology skims through hundreds of newspapers, identifies what the core issues are, and provides article summaries that have been extracted. Its key features include the detection of sentiment associated with each article, and the removal of duplicate information.
Gnowit’s Chief Technology Officer Shahzad Khan is a graduate from the University of Cambridge, and chose to come to Ottawa in 2007 for two reasons: (1) Canada’s health programs, and (2) the tax environment was beneficial for startups due to generous government programs such as SRED and IRAP.