TORONTO TAX HELP

 

Let us help you cash in

Many Canadians are missing the opportunity to milk this cash cow.  Take the important first step in finding out whether you may be eligible by calling us for a no cost consultation. With our successful track record, as Canadian accountants, in winning these credits for clients, we  would like the chance to help you too.

WHAT ARE R&D CREDITS?

Generous federal and Ontario government payouts to Canadians performing qualified R&D (scientific research and experimental development) work. 

WHAT IS R&D?

A rather lengthy definition appears in the Income Tax Act, but here it is in part:

Systematic investigation or research carried out in a field of science or technology by means of experiment or analysis and that is:

(a) basic research- work undertaken for the advancement of science without a specific  practical application in view,

(b) applied research- work undertaken for the advancement of science with a specific practical application in view

(c) experimental development- namely, work undertaken for the purpose of achieving technological advancement for the purpose of creating new, or improving existing, materials, devices, products or processes, including incremental improvements thereto.

We highly recommend you read, in detail, the government's publication IC86-4R3 where the government provides comprehensive guidelines as to what they consider to be qualified R&D. Also, we recommend IC97-1 which gives information for software developers; it also serves as an illustration as to how they interpret the law within a specific context.  Both publications are available at the CCRA website at www.ccra-adrc.gc.ca..

For specific questions we recommend you call the federal government's R&D number 519-584-3925. We've found the persons at that number to be very knowledgeable and helpful.

    

WHO SHOULD CONSIDER APPLYING FOR THESE CREDITS?

Anyone who can answer yes to any of these questions should consider applying.

  • Have you, or any of your employees, ever worked on an R&D project?
  • Are you, or any of your employees, capable of working on an R&D project?
  • Do you have, or did you ever have, the academic qualifications to work on an R&D project? (e.g. do you have the capability of doing the quality of work that could be published in a scientific journal?)
  • Do you have the technological know how to work on a R&D project? 

EXAMPLES OF FREQUENTLY MISSED OPPORTUNITIES

You should get qualified professional accounting help to learn how to put in place a structure to enable you to get R&D credits if:

  • you are in graduate school doing R&D work and your parents (or your spouse) supports you, 
  • you are a laid off engineer, scientist or other qualified to do R&D work. Rather than just collecting employment insurance, you may be able to start your own business financed by R&D credits
  • you are an academic, especially a  retired one, doing R&D work
  • you are an owner of an incorporated  businesses who at any time in the past has done R&D work. With the right plan  and your willingness to spend time doing R&D work, you can generate large R&D payouts
  • You are a physician, pharmacist  or other health professionals who does  R&D work in your spare time

 

Contact info:

Name:        B.C. Chastkofsky C.A.

E-mail:        bc@torontotaxhelp.com

telephone:   416-785-6567

fax:            416-785-1718 (daytime only please)

 

 

 

Copyright © 2006 B.C. Chastkofsky C.A.
Last modified: October 31, 2006