Ottawa, ON...CATAAlliance, Canada’s One Voice for Innovation Lobby Group has called on Navdeep Bains, Minister of Innovation, Science and Economic Development, in collaboration with Cabinet Ministers, to introduce an Independent Authority to manage the SR&ED tax incentives program.
The proposal for the Authority was outlined on Facebook Live by CATA Sr. VP, Russ Roberts, who led team of experts in the development of terms and conditions.
CATA CEO, John Reid, said, " After three decades of continuous advocacy by the business community for improvement in the SR&ED program, serious, longstanding issues with the SR&ED program persist. Our innovation driven community is discouraged and many are doubters. If these issues are not fully addressed now we reduce our prospects for becoming a top ranking competitive innovation nation success."
A recent paper by Brian Cookson of RDP Associates — comparing the Canadian and UK tax credit systems — bears out the claim that CRA interpretations and documentation requirements are overly onerous and discourage ICT innovation. The UK has leveraged a similarly focused system to dramatically improve its R&D/innovation ranking. And whereas the UK tracks and regularly reports on the effectiveness of its R&D tax credit program, the CRA does not. A 2015 study of the UK system found that "For every £1 of R&D tax credit given out, £1.53 to £2.35 of additional expenditure by UK firms is generated", compared to just $1.38 in Canada.
Details are available at: http://www.cata.ca/Media_and_Events/Press_Releases/cata_pr08041601.html
Full details on " Making the case for a 3 billion dollar SR&ED tax authority " can be viewed at:
CATA CEO, John Reid, said, " Progressive approaches to Canadian government innovation tax incentives can help put Canada on the map as a global innovation hub. The way forward is to act on a bold new public policy vision: to build Canada as a global centre for innovation."
He concluded, " We applaud Minister Bain’s open, transparent and engaged approaches to innovation consultations with citizens and his leadership for helping to advance new ways forward."
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The Canadian Advanced Technology Alliance (CATAAlliance) is Canada's One Voice for Innovation Lobby Group, crowdsourcing ideas and guidance from thousands of opt in members in moderated social networks in Canada and key global markets. (No Tech Firm Left Behind) Contact: CATA CEO, John Reid at email@example.com