New Funding Assessment Tools Are Now Available From CRA

As part of Red Tape Reduction Commission (RTRC) consultations, stakeholders have asked the CRA to improve SR&ED services. Economic Action Plans 2012 and 2013 announced several measures to enhance the predictability of claimants receiving the SR&ED tax incentives and the fiscal integrity of the program. As part of these measures, the CRA is pleased to announce the official launch of SALT and FTCAS.

SALT is an online tool that helps businesses conducting research and development to find out if they may be eligible to receive SR&ED tax incentives. Through specific questions, answers, and examples, SALT helps business owners understand the SR&ED program’s eligibility requirements and offers information and tips to help them prepare their SR&ED claims.

FTCAS is a free, in-person service for first-time SR&ED claimants. Local CRA staff with extensive knowledge of the SR&ED program will meet with first-time claimants, at their place of business, to help them get a better understanding of the SR&ED program, and provide them with tailored information for their business on work that may be eligible, as well as expenditures and documentation requirements.

The goal of these new initiatives is to help SR&ED claimants more easily access the SR&ED program and benefit from the incentives it offers. Well-informed claimants will be better equipped to avoid future complications when making a claim, thereby reducing the administrative burden and processing delays while increasing the chances of a successful claim if requirements are met. Through these initiatives, the CRA continues to reduce the administrative burden for small and medium sized businesses in Canada, leaving them more time to create jobs and grow Canada’s economy.

Quick Facts

• The SR&ED program is the single largest federal tax incentive program that supports business research and development.
• The SR&ED program provided over $3.6 billion in tax assistance to over 23,000 claimants in 2012 alone.
• SALT includes clear explanations of key concepts and tips on how to effectively structure an SR&ED claim submission.
• FTCAS focuses on informing claimants about the eligibility of work and expenditures and document requirements and on increasing the success of future claims.
• SALT and FTCAS address calls from small businesses to reduce the red tape burden that results from federal government rules and regulations.