How to prepare your claim

Follow the steps below to prepare your SR&ED tax incentives claim yourself.

Steps

1. Get ready to claim

   Understand how to claim, resources you'll need, reporting deadlines, and which records to save

2. Group work into SR&ED projects

   Review what an SR&ED project is and how to group your eligible work into projects

3. Report expenditures with form T661

   Use the T661 expenditures claim form to calculate your SR&ED expenditures

4. Calculate allowable expenditures

   Choose the proxy or traditional method, and determine which expenditures may be allowable (salary or wages, materials, contracts, overhead, and third-party payments)

5. Calculate pool of deductible expenditures

   Determine your pool of deductible SR&ED expenditures that you may deduct against your net income

6. Calculate qualified expenditures

   Determine the SR&ED expenditures that qualify for an investment tax credit (ITC)

7. Get an investment tax credit (ITC)

   Learn who can get an ITC and which form to use, review rates, and find out if your ITC is refundable