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Hi Allan,
If someone pays for one app for example $300,000, and it is a new app, is it possible to consider some of expenses of it as SR&ED in order to get tax credit?
If yes, how can I determine which expenses are included as SR&ED? And Which for should I fill out in order to present CRA?
Your guide is strongly appreciated.
Best Regards
Vahid Hosseini
Hi Vahid,
I'm assuming that your company paid a developer to create an app for your company and the total cost came to about $300,000. In this case, these conditions must be met so that the money spent could potentially qualify for a SR&ED tax credit:
1. The developers are Canadian residents
2. Your company owns the app for its use and the IP belongs to your company
3. The app involves the creation of new technology
4. The success outcome of the app was not certain at the start and the developers had to go through many trials and errors during the development process.