Increase in Fraudulent SR&ED Claims Reported by Canada Revenue Agency

In an article penned to newswire on April 6^th, 2022, by Canada Revenue Agency (CRA), CRA has unfortunately seen an increase in fraudulent/false information provided with the SR&ED Tax Credit. CRA wants to assure everyone that many Canadian companies are filing correctly but it is something that they are closely monitoring. With that in mind, how does this effect your companies next SR&ED Claim? 

For a start, it is important to note that you are responsible for the representations made by both yourself and your representative. Any false or fraudulent information can result in hefty fines or worse… Another issue that may arise due to fraudulent documents is that CRA will conduct more reviews/audits in the future to make sure all technical and financial information is in accordance with their rules and regulations. This can be costly and delay the receipt of any credits for months if not years.

CRA’s mission of this program is to encourage innovative companies across Canada but these claims must be legitimate. When preparing and submitting a claim, your company wants to ensure that all documentation and required forms are complete and prepared in line to meet their requirements. There is specific criteria and thousands of interpretations to consider when submitting a claim. How does a company go about doing this?

Trust in the 30 plus years of experience of Braithwaite Canada

1. Braithwaite Canada works hand in hand with your company to maximize the SR&ED Tax Credit by tailoring weekly, monthly, or quarterly updates with your team.
2. Each client is partnered with a technical expert for their industry – in-PhD, engineer or developer- that can speak your company’s language to extract all technical information. On average, each of our consultants has completed in excess of 200 files.
3. We have approved CRA templates that will assist in meeting all criteria outlined by CRA.
4. Braithwaite has an in-house taxation consultant that knows anything and everything to do with each province’s rules and regulations on the SR&ED Tax Credit.
5. We are approved CRA authorized filers, making it smoother and cost friendly to submit the SR&ED Tax Credit.
6. Review/audit experts with a 99% success rate.

Work with a company that values your reputation as much as our own. Contact Braithwaite Canada Today to put your mind at ease with CRA.

Source:
Canada Revenue Agency, Tax Tip – Important reminder for businesses filing SR&ED claims
https://www.newswire.ca/news-releases/tax-tip-important-reminder-for-businesses-filing-sr-amp-ed-claims-869877748.html

Image: Colin Temple/Shutterstock