The Government of Canada is stepping up its commitment to innovation with a $1.9 billion investment over six years to enhance the Scientific Research and Experimental Development (SR&ED) Tax Incentive Program. This program already supports over 22,000 businesses, and the latest reforms make it even more accessible and beneficial for Canadian companies. 

Here’s what’s new: 

✅ Higher Tax Credit Limits: The enhanced 35% refundable tax credit for CCPCs increases from $3M to $4.5M annually, allowing claims up to $1.575M. 

✅Broader Access: Taxable capital phase-out thresholds rise from $10M-$50M to $15M-$75M, benefiting more businesses. 

✅ Refundable ITC for Public Corporations: Enhanced refundable credits are now available to eligible public corporations for up to $4.5M of annual expenditures. 

✅ Capital Expenditure ITC: Capital expenses are back as eligible for tax credits and deductions, restoring pre-2014 rules. 

These updates, effective December 16, 2024, are designed to fuel innovation, drive economic growth, and position Canada as a global leader in R&D. 

At CTAP, we understand how vital R&D is to business success. Our team specializes in helping companies navigate the SR&ED program to maximize benefits and unlock their full potential. 

Ready to take your innovation to the next level? Connect with us today and let’s make the most of these exciting new opportunities!