Wally Black, newly appointed manager of the local BDO office, gave a presentation to the Columbia Valley Chamber of Commerce monthly meeting on Wednesday February 2 at Copper Point Golf Course.
The subject was the Scientific Research and Experimental Development program, more commonly known as SR&ED, often pronounced shred.
The program was developed to encourage businesses to conduct research leading to new and technologically advanced products and processes.
Administered by the Canada Revenue Agency, the program offers tax incentives and the rewards are not limited to those that work in a research lab. Approximately 75 per cent of the claimants are small businesses who just come up with a better way to conduct their business.
Black spoke about the technical aspects of the program stating that although a new product or process qualified so do improvements to an existing product or process.
He also addressed various qualifying expenditures and how they must be tracked in order to be eligible. There are some strict guidelines to follow.
These expenses can includes salaries and wages, material costs, some overhead and third party payments to other research entities.
There are SR&ED service providers who are trained to maximize claims by ensuring all those expenses are included in an effective, properly written, convincing claim. They also provide audit support.
Anyone with questions is invited to contact Black at the Invermere BDO office 250-342-3383.