One firm for the SR&ED claim and the corporate tax return
Many SR&ED consultants prepare the technical portion of the claim and then pass the work to the company's accountant for the tax filing.
Our firm can handle the complete claim. We prepare the technical documentation, calculate the eligible expenditures, complete the T661 schedules, and coordinate the claim with the corporation's year-end accounting and T2 return.
Many SR&ED consultants prepare the technical portion of the claim and then pass the work to the company's accountant for the tax filing. Our firm can handle the complete claim.
- Technical claim prepared separately
- Information passed to the accountant
- Separate responsibility for the T2 filing
- Technical interviews and documentation
- Expenditure calculations
- T661 preparation
- Corporate year-end and T2 filing
- CRA review support
For most clients, this means fewer handoffs, less duplicated work, and one coordinated team responsible for the claim from the initial project review through filing and CRA follow-up.
We can also prepare the SR&ED portion for businesses whose existing accountant will handle the corporate tax return.
Technical documentation
We work with the people who performed the work to identify:
- The technological uncertainties encountered
- The limitations of the existing approach
- The hypotheses or alternatives considered
- The testing, analysis, and experimentation performed
- The knowledge or capability gained through the work
The goal is to describe the project accurately and in terms that address the SR&ED criteria.
Financial preparation
We review the accounting records and determine which costs may relate to the eligible work.
This can include:
- Employee salaries and wages
- Contractor expenditures
- Materials consumed or transformed
- Overhead calculated under the permitted method
- Government assistance and other amounts that may affect the claim
The financial schedules are prepared alongside the corporate tax return so the expenditures, tax credits, financial statements, and T2 filing are treated consistently.
SR&ED support by industry
The underlying SR&ED requirements are the same, but the nature of the technical work varies considerably between industries.
SR&ED for software companies
Software projects may qualify where developers encounter technological uncertainty that cannot be resolved through standard programming techniques or routine configuration.
Examples may include work involving system architecture, performance, scalability, data processing, integration constraints, or the development of new technical capabilities.
Learn more about SR&ED for software companies →
SR&ED for engineering firms
Engineering projects may involve qualifying work where established methods do not provide a workable solution and systematic testing is required.
This can include prototype development, material testing, structural challenges, mechanical systems, environmental constraints, or custom equipment.
Learn more about SR&ED for engineering firms →
SR&ED for manufacturers
Manufacturing businesses may undertake eligible work while developing or improving processes, tooling, equipment, materials, or production methods.
Potential projects can involve trial runs, process limitations, custom machinery, reducing defects, increasing throughput, or adapting production to new requirements.
Learn more about SR&ED for manufacturers →
What generally makes a project eligible?
A project may warrant further review where:
- A technical objective could not be achieved using established methods
- Available knowledge did not provide a clear solution
- Different approaches were tested or compared
- Failures and unexpected results informed later work
- The project generated new technical knowledge or capability
- Records exist showing what was attempted and how the work progressed
Commercial difficulty, tight deadlines, or a challenging project do not qualify on their own. The issue must involve a technological uncertainty addressed through a systematic process.
New to the program? Our guide What is SR&ED? explains eligibility, expenditures, filing, and CRA reviews in plain English, and SR&ED provincial tax credits covers the additional credits most provinces offer alongside the federal program.
How the complete SR&ED engagement works
1. Initial eligibility review
We discuss the projects undertaken during the year, the technical challenges encountered, and the people involved.
This helps determine which projects may justify a more detailed assessment.
2. Technical interviews
We speak with the employees, founders, engineers, developers, or other personnel who performed the work.
The discussion focuses on the technical uncertainty, the work completed, the results, and how the project changed over time.
3. Financial preparation
We review payroll records, contractor costs, materials, and related accounting information to calculate the expenditures connected to the eligible work.
4. Claim preparation and tax filing
We prepare the technical description, expenditure schedules, and T661 information, then coordinate the claim with the corporation's T2 tax return and year-end accounting.
5. CRA review support
Where CRA asks questions or selects the claim for review, we help prepare the response and support the technical and financial positions taken in the filing.
CPA-led tax preparation with experienced technical support
The technical work and the tax filing require different expertise. Our process brings them together within one CPA firm, so the project narrative, expenditure calculations, financial statements, tax credits, and T2 return are prepared with the same facts and assumptions.
Most of our SR&ED clients have us handle both sides of the claim. Technical-only engagements remain available where another accountant will complete the corporate year-end and tax return.
Better records make it easier to identify eligible work, prepare the claim, and respond to questions from CRA.
