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Every year there are billions of dollars of tax incentives for companies performing scientific research & experimental development (SR&ED). But the rules are complex, and the administration of the SR&ED program can disrupt the operations of your business.

Ernst & Young is a leader in helping companies obtain R&D tax incentives. Let us manage your SR&ED claims and increase your return on investment—so you can run your business.

We have a team of dedicated SR&ED professionals, many of whom have been working in this area since the incentive program’s inception in 1985. We know the law, the information circulars, and the administrative practices of the Canada Revenue Agency (CRA). We also know your industry, and we are comfortable with both tax rules and scientific principles.

Some of the ways we can help you through the claim process:

SR&ED claim planning — We can work with you to structure your claims by technological advancement. This is how the CRA prefers to review claims, and it can also be easier to administer (fewer project descriptions and lower compliance cost). This approach helps you to take full advantage of the SR&ED benefits to which your company is entitled by identifying all the work for your technology’s development.

We can help structure your relationships with customers and contractors in ways that maximize your SR&ED claim.

SR&ED claim management — The value and defensibility of an SR&ED claim depend, in large measure, on the processes used to model the eligible activities and cost.

Ernst & Young has dealt with SR&ED in every industry and sector. We have proven success in applying several different claim process models that will allow you to obtain the full benefit of SR&ED incentives with the least disruption to your business and without adding any significant administrative overhead.

The CRA is increasingly reviewing claimants’ processes rather than just auditing their claims. If you prepare your claims in-house, we can review your processes for identifying, documenting and costing SR&ED projects. If necessary, we can help you reengineer and realign your SR&ED management processes.

SR&ED claim preparation — Ernst & Young can bring the necessary focus to the key issues supporting your claim. We can help you develop the right focus whether we write your project description for you or you prepare it in-house.

As well as helping you maximize the size of your claim, we can determine strategies for using federal and provincial SR&ED incentives to significantly improve results based on your corporation’s tax history and projected taxable income.

SR&ED claim defence — The key to a successful SR&ED audit is to be prepared. We can help you focus on the issues that will support your claim and review the key elements of your SR&ED projects so that all of the CRA’s concerns will be addressed.

We work with you to develop the defence of your claims. We take the lead in managing the audit process or, if you prefer, we can conduct the audit defence for you.

SR&ED claims can become contentious and subject to rebuttal, arbitration, objection or appeal. We have a wealth of experience with the CRA’s processes, and we can help you formulate a successful resolution strategy.