NorthGrants
Federal · Tax Credit

Scientific Research & Experimental Development (SR&ED)

SR&ED is the largest single source of R&D funding in Canada. If you're a CCPC doing technical work to resolve uncertainty, you can recover 35% of eligible expenditures as a refundable tax credit. Budget 2025 raised the CCPC expenditure limit from $3M to $6M, restored capital equipment eligibility, and lifted the maximum refundable ITC to $2.1M.

Common questions

What counts as SR&ED-eligible work?
Work that attempts to resolve scientific or technological uncertainty through systematic investigation. The work doesn't need to succeed; it needs to be documented, technically uncertain at the start, and conducted by qualified personnel.
When do I file an SR&ED claim?
SR&ED claims are filed with your T2 corporate tax return for the fiscal year in which the work was performed. You have 18 months from the end of the tax year to file. Earlier is better, since refunds typically arrive within 60-120 days of acceptance.
How much does an SR&ED claim cost to prepare?
Most consultants charge 15-30% of the recovered amount. NorthGrants gives you the full claim framework (technical narratives, project tracker, expenditure mapping) so you can either submit directly or hand it to an accountant for filing only.
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What is Scientific Research & Experimental Development (SR&ED)?

Scientific Research & Experimental Development (SR&ED) is delivered by CRA as a tax credit. Funding is typically up to 35% refundable for CCPCs, 15% non-refundable otherwise (first $6M qualifying expenditures for CCPCs). This page covers eligibility, intake status, and what an application actually requires.

At a glance

Funding amountUp to 35% refundable for CCPCs, 15% non-refundable otherwise (first $6M qualifying expenditures for CCPCs)
Cost shareClaim on tax return
LevelFederal
Program typeTax Credit
Delivered byCRA
Available inAll provinces
Intake statusOpen - Rolling
Last verified2026-06-01

Who qualifies

  • Eligible industries: All industries with R&D activity
  • Eligible activities: Basic/applied research; experimental development; eligible support work

Watch out for

Non-R&D activities; social sciences/humanities; routine testing or data collection

Deadlines & how to apply

Claim on T2 corporate tax return within 18 months of year end. Bill C-15 (Budget 2025; Royal Assent Mar 26, 2026) raised CCPC expenditure limit from $3M to $6M — max refundable ITC now $2.1M annually. Taxable-capital phase-out range widened to $15M–$75M (from $10M–$50M). Capital equipment restored as eligible for property acquired on or after Dec 16, 2024 (first time since 2014). Enhanced refundable credit extended to eligible Canadian public corporations (ECPCs) for tax years beginning on or after Dec 16, 2024. NEW (Apr 1, 2026): voluntary Pre-Claim Approval (PCA) process — CRA confirms technical eligibility within ~8 weeks before work begins; PCA-approved projects get 90-day expenditure review (vs 180+ days standard). PCA replaces the prior pre-claim consultation service (discontinued Jan 1, 2026). Quebec/Ontario/BC/Manitoba/Atlantic offer additional provincial SR&ED layers. PCA covers up to 3 projects per request and is valid for up to 3 years once granted; CRA issues a determination within ~8 weeks of a complete My Business Account submission.

View official program page →

How NorthGrants helps with Scientific Research & Experimental Development (SR&ED)

Most business owners read about Scientific Research & Experimental Development (SR&ED), see the funding amount, and stop. The hard part isn't finding the grant. It's building an application that actually wins.

NorthGrants builds the full application framework for you: a tailored project narrative aligned to this program's evaluation criteria, a budget structure that maps to eligible costs, and the supporting documentation checklist. You review it, refine the parts only you can write, and submit.

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