Manufacturing has traditionally been a prime area eligible for SR&ED Tax Credits. With its inherent focus on innovation, process improvement, and technological advancement, the manufacturing sector continually generates opportunities for qualifying research and development activities. As a result, manufacturing companies have long benefited from the incentives provided by SR&ED tax credits to drive innovation and remain competitive in the global marketplace.

SR&ED Indicators

When developing a product, or carrying out your manufacturing process, it is crucial to think of these indicators in terms of eligibility for SR&ED Tax Credits:

  • Are you developing, or improving upon, a new product?
  • Are you creating, or improving upon, a new process?
  • Are you developing custom machinery?
  • Are you developing prototype equipment?
  • Is the development subject to a patent?

SR&ED Eligibility Criteria

Further to this, the following three criteria must be met to be eligible for SR&ED:

  • Scientific OR Technological Advancement
  • Scientific OR Technological Uncertainty
  • Scientific OR Technological Content

Case Study: SR&ED Claim for Manufacturing

Please take a look at our case study (below) to see how we successfully maximized a SR&ED claim for one of our manufacturing clients. Our proprietary process not only reduces the time your staff spends on documentation but also provides protection in the event of a CRA audit. We have over 37 years of experience preparing claims for companies across all industries, but with particular strength in the manufacturing industry.

Click here to save/download the case study.

Case-Study-Manufacturing-Optimizing-SRED-with-RDP-Associates

Eligible SR&ED Areas of Manufacturing

Here is a list (of some) of the many eligible SR&ED areas of manufacturing:

  • 3D Printing/Additive Manufacturing
  • Advanced Materials
  • Aerospace and Defense
  • Automation
  • Automotive / Parts
  • Building Materials
  • Chemical
  • Clean Technology
  • Electronics
  • Equipment
  • Food Processing Equipment Manufacturing
  • Furniture and Fixtures
  • Industrial Machinery
  • Lighting
  • Machining
  • Metallurgy
  • Nanotechnology
  • Plastics
  • Power and Energy
  • Renewable Energy
  • Robotics
  • Textiles and Apparel
  • Window and Door

Click here to see the Federal Government’s guide on the types of work that are eligible for SR&ED Tax Credits.