Feature Tax Company:
FIDELITY CONSULTING GROUP INC.
What is Fidelity Consulting Group?
Fidelity Consulting Group, Inc. is a Winnipeg based business advisory company that specializes in preparing grant documentation, including scientific research and experimental development (SRED) documentation. Our business is designed to allow your business to obtain federal funding currently in place for innovative small and medium sized businesses. We work with your management to identify grant opportunities and capitalize on the R&D innovation you may have already performed or will perform in the near future. Fidelity Consulting Group offers free consultations and we never bill you for our services unless you receive funding. Working with Fidelity has proven to be financially lucrative for companies like yours.
Companies leaving money on the table
Every Year, the Canadian government funds over $2 billion dollars in claims made under the SR&ED tax credit program. It is estimated that there is almost $2.5 billion dollars in funding that has qualified but goes unclaimed because companies are not aware of the program, not able to complete the submission accurately or on time, or are not aware that the type of work they are doing does actually qualify.
What is The SR&ED program?
The Scientific Research and Experimental Development (SR&ED) program was introduced in 1980 and has approximately $2 billion a year in funding. The SR&ED program is the largest funding program in Canada, designed to encourage innovation and development. It truly is a one of a kind opportunity for small and medium sized Canadian companies. The funding is redeemable as a cash refund that can be reinvested or drawn out of the company and used within or outside of the R&D department. The SR&ED program offers Canadian Companies up to $564 in funding for every $1000 spent on wages, possibly including salaries for upper management and company owners. Other expenses such as materials and directly related expenses can qualify for up to 35%. As well, companies can claim specific overhead or elect to claim a proxy amount which can be an additional 65% of qualifying costs. This may be a substantial sum of money for your business.
What types of companies will qualify?
Many companies currently in business assume they will not qualify for the program because they don’t have a specialized R&D department or revolutionary innovations taking place. This assumption is false and in fact many companies do qualify from work they may have already performed. The goal of the SR&ED program is to promote innovation in Canada in all sectors and to encourage Canadian companies to perform R&D that will lead to technologically advanced products or processes, therefore strengthening the competitive advantage of Canada. What may be holding some companies back from applying is the confusion around what exactly qualifies as technologically advanced products or processes.
What is R&D?
Projects that may qualify under the program include:
• Work undertaken for the purpose of achieving technological advancement.
• Creating new, or improving existing materials, devices, products or processes.
Additions or improvements to existing materials, devices, products or processes.
• Many others
Who can help?
Making an SR&ED claim is a fairly complex process: it requires identifying eligible projects; capturing the cost of those projects; making the appropriate claim in your tax return, writing a technical report to support the claim and often times attending a review meeting with government officials. Fidelity Consulting Group has the expertise you need to make your R&D filing a smooth process with no surprises or risks.
For more information or a free consultation contact Fidelity Consulting Group at (204) 990-3380
Fidelity Consulting Group Inc., Business Consulting & Tax
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