What is the SR&ED?
The Scientific Research and Experimental Development (SR&ED) Program is a federal government program which aims to encourages research and development by providing tax-based incentives.
By using producer check-off contributions to finance research and development work that benefits Saskatchewan barley producers, SaskBarley is able to participate in this program and distribute these tax-based incentives to producers.
The program gives registered barley producers access to investment tax credits (by means of cash refunds and/or reduction to taxes payable) for their check-off contributions that are spent on qualifying research.
For the 2017 crop year (August 1, 2016 to July 31, 2017), producers are able to claim 17.67% of their check-off contributions as a qualifying SR&ED expenditure on their federal tax return.
- Investment tax credits may be claimed by filing form T2038 (IND) for farm individuals or T2SCH31 for farm corporations.
Farm corporations are able to claim 17.64% of their check-off contributions as a qualifying expenditure towards the Saskatchewan Research and Development Tax Credit program.
- This credit may be claimed by filing form T2SCH403.
Please note: Producers that have requested a refund of their check-off are not eligible for either tax credit.
More information about the SR&ED
For information on the SR&ED tax credit for other Saskatchewan crops, please visit the websites of the respective groups.