Scientific Research and Experimental Development (SR&ED) tax incentives
Run by Canada Revenue Agency
The short answer · Checked today
A federal tax credit for research and development done in Canada. Most Canadian-controlled private corporations earn a refundable 35% credit on up to $6 million of qualified spending a year (for tax years starting after December 15, 2024); other claimants earn 15%. You claim it with your income tax return.
Closes
No fixed deadline
Apply on canada.ca(Opens the funder’s site)Key facts
| Who can apply | Small businesses |
|---|---|
| Pays for | Research and innovation |
| Where | Canada |
| How much | Most CCPCs: 35% refundable credit on up to $6M of qualified spending a year. Others: 15%. |
| Type | Tax credit |
| Intake | Accepts applications all year · Claimed with your income tax return. |
Who qualifies, in the funder’s words
Each rule is copied word for word from the funder’s page, and re-checked. If the funder changes it, we take it down until it’s checked again.
How much
The basic credit is 15% of qualified spending.
“The basic ITC rate is 15% on qualified SR&ED expenditures” Most CCPCs get a refundable 35% credit, up to the expenditure limit.
“may earn a refundable ITC at the enhanced rate of 35%” The expenditure limit is $6 million for tax years starting after December 15, 2024.
“$6 million for tax years beginning after December 15, 2024” Source: Get an investment tax credit · Checked today
How to apply
Submit an SR&ED claim with your income tax return (Form T2SCH31 for corporations, T2038-IND for individuals). Optional pre-claim approval is available, but you still need to file the claim.
Guides and answers
Sources and checks
Facts on this page come from the funder’s own page, and a CanGrant editor hasn’t reviewed them yet. Check the funder’s page before you apply. canada.ca · Report a mistake