SRED Calculator

Our SRED Calculator allows you to input your expenditures eligible for SR&ED tax credits and calculates the dollar value of the SRED credits that you can expect to receive. 

The free to use calculator has 7 or 8 inputs depending on your province

The first input asks if your business is a CCPC (Canadian Controlled Private Corporation). Click the link to see what a CCPC is and if your business is one. In general unless your business is listed on a stock exchange or foreign owned, it is a CCPC. Compared to public companies, CCPC’s get higher credit rates and the SRED credits that they do get are refundable (arrive as a direct deposit from the CRA), vs the nonrefundable credits that public companies get that are only usable when a business incurs a tax balance. 

The second input allows you to select your province/territory. This will determine which provincial program will supplement your federal SRED credits. Each province has slightly different credit rates but all provinces except for Quebec automatically award provincial credits when your federal application is approved. There is slightly more accounting red tape in Quebec. 

The third input of the SR&ED Calculator is available in Ontario only and gives the option to waive the small ORDTC credit. This is a very small credit that is non-refundable and therefore not a cash credit. This credit is only redeemable if your business will have a tax balance. Because this credit is only 3.5% if your business does not expect to have a tax balance in the near future, it is best to waive this credit to get more refundable money right away. 

The next 4 SRED Calculator inputs are simply different categories of expenses that are eligible for SRED credits. All of these expenses that qualify for SR&ED should be entered in these fields. Payroll is by far the largest category with up to 70% of eligible expenditures converting into SRED credits. 

The SR&ED Calculator then calculates your SRED credits.