Going into this process, we were unsure of our ability to qualify for SRED tax credits and lacked the in-house resources and expertise for the research and preparation of a high-quality claim. SRED Unlimited managed the entire process of SRED claim preparation and submission with minimum involvement of our staff. We have subsequently received a significant refund and have retained SRED Unlimited to help strategize on new projects to ensure they qualify for maximum SRED credits.
Pharma R&D Ahead of IT R&D
Canada’s pharmaceutical market is the eighth largest in the world and actually ranks ahead of the IT and Telecommunications industry (depending on who you talk to) in terms of R&D focus and effort.
Canada’s pharmaceutical companies develop and manufacture innovative medicines and generic pharmaceuticals, as well as over-the-counter drug products and vaccines. Some of this development may include use of different active pharmaceutical ingredients (API) than standard while trying to achieve the same or a better result than the original. This industry also includes the emerging field of biologics and subsequent entry biologics.
Whether your product development work is done in-house or outsourced to a Canadian-based biotechnology corporation, so long as you own the intellectual property (IP) and bear the cost and ultimate risk of the development work, you can claim SR&ED.
The SR&ED Tax Credit – Additional ROI for Pharmaceutical Research and Innovation
As an increasing number of products lose their patent protection, many pharmaceutical corporations in Canada are experimenting with and developing generic drugs in an effort to find Canadians effective and affordable medications. These generic drugs can take 2-3 years to develop at a cost of about $3-10 million in R&D and testing expenditures. With recent changes to the SR&ED tax credit program that allows corporations a full 35% refund on eligible expenses so long as their taxable income is below $10 million, small and medium-sized corporations can see a substantial return on their investment dollars.
Why you need SRED Unlimited
If your company funded and engaged in scientific research and experimental development to…
- develop new and improve effectiveness and stability of existing drug compounds
- identify organic compounds which could inhibit or activate a biochemical reaction
- test a combination of ingredients and products to achieve an acceptable yield and determine or reduce level of side effects
- combine non-medicinal ingredients with the active ingredient with a view towards achieving the desired half-life and prolonged effectiveness, improve the metabolism of the drug at the desired active site, and decreasing the risk of adverse side effects
…you may have eligible SR&ED expenditures.
Let our experienced SRED Unlimited consultants help you navigate the complicated world of multiple funding sources and find expenditures that would be eligible for the SR&ED tax credit program. Call us today to maximize your claim.