If your business operates in the construction industry, you are probably doing work that qualifies as SRED almost every day.  Hammering on nails, building joists... who are we kidding.  There's a lot of construction work, such as laying bricks and mortar, which would not qualify for SR&ED, and at the same time, there is systematic experimentation, leading to technological advancement to be found in many construction businesses.  As counter-intuitive and wrong as it may sound, there can be SR&ED in the construction business.

And, when it's found, the SR&ED comes packed along with expensive materials and labour costs, which translates, paradoxically, into money in your pocket, at the end of the tax year.  SR&ED, and other technology tax credit programs, for too long, has been about subsidizing technology businesses, the movie industry, and everyone except for the construction industry, which has really gone through some tough times.

Luckily, now, SR&ED is becoming available, and like many other elements of the stimulus packages, is intended to pour money, like concrete, into the economy, and make it solid, just like roads.

So, let us explain how SR&ED might apply to a construction business.  When you are on the site for a new project, unforeseen problems and obstacles inevitably may arise, and you may have to invent your way out of them. Have you ever come up with a new way to get work done faster, or improved the soundness of a structure using a concept you yourself devised, or found ways to reduce the environmental impact of your work team?

If you answered "yes!" to any of those questions, then there is a good chance your activities would make you eligible to receive tax credits under Canada's SR&ED program. Expenses such as employee wages, materials cost, and equipment leases can all be expenditures related to SR&ED projects, increasing the size of your claim, and the money you can get back.  You can even claim expenditures for projects completed up to a year and a half ago!

TCEG's knowledgeable team of SR&ED consultants knows how to write a successful claim. Under our guidance you can be sure you are receiving as much as you deserve under the SR&ED program. Even if your bright new idea fizzled in the end, you may still qualify for tax credits. Try our FREE SR&ED eligibility tool and contact TCEG today to speak with one of our SR&ED consultants who specialize in the construction industry, for immediate assistance.