Tax Credit for Fees and Dues Paid to a Research Consortium

A society which, during a taxation year, carries on a business in Canada and is a member of an eligible research consortium that holds a qualification certificate issued by the Minister of Economic Development, Innovation and Export, by the Minister of Higher Education, Research, Science and Technology or the Minister of Higher Education, Research and Science may, under certain conditions, apply for a tax credit on contributions and fees paid to the research consortium.

• The corporation may claim a tax credit equal to 35% of the eligible contributions or fees it paid in respect of scientific research and experimental development expenditures incurred by the eligible research consortium before June 5, 2014 . If expenditures are incurred after June 4, 2014 for a corporation's taxation year that begins before December 3, 2014, the tax credit rate is 28%.
• If the expenses are incurred for a taxation year of the corporation that begins after December 2, 2014, the basic rate of the tax credit is 14%. This rate may be increased to 30% if the corporation is a Canadian-controlled corporation with total assets for the preceding taxation year, including associated corporations, of $ 50 million or less. When the total assets of the corporation are between $ 50 and $ 75 million, the 30% rate is reduced on a straight-line basis. The premium rate applies to expenses limited to $ 3 million.

Log in with Google

OR

Get Started to Apply