The terms discussed under these new definitions hold an oft-repeated purpose in written communication between RTAs and the claimants, and so their clarification possesses significant purpose. It primarily speaks to the position that the CRA has yet neither confirmed nor refuted the eligibility of the claimed work. Lastly, the term “decision” applies to the RTA’s prerogative to accept all or some of the claimed work as filed, without first conducting a review. “Conclusion” is a term utilized by RTAs in situations where insufficient evidence makes it difficult for the RTA to determine whether the claimed work meets the definition of SR&ED. The term “determination” is used to mean the result of the technical review which divides into situations where all of the work, some of the work, or none of the work may meet the definition of SR&ED. In essence, an SR&ED project is a set of inter-connected activities which are collectively employed in attempting to overcome the outlined scientific or technological uncertainty, pursued through a systematic investigation or search. The decision to AAF the claimed work means that the CRA has neither confirmed nor refuted the eligibility of the claimed work. It also includes cases when the RTA decides to accept as filed (AAF) all or some of the claimed work without conducting a review to determine if the claimed work meets the definition of SR&ED in subsection 248(1) of the Income Tax Act. It includes ‘decisions’ concerning joint technical-financial issues. The term ‘decision’ is used with respect to the RTA’s work that does not relate to the definition of SR&ED. This situation occurs when the claimant is unable to provide sufficient evidence to substantiate the claimed work and so, it is not possible for the RTA to determine if the claimed work meets the definition of SR&ED in subsection 248(1) of the Income Tax Act. The term ‘conclusion’ is used with this meaning: the RTA ‘concludes’ that the claimed work is unsubstantiated (UN). ![]() none of the reviewed work meets the definition of SR&ED (NW). some of the reviewed work meets the definition of SR&ED and some does not (SW) andĬ. ![]() all of the reviewed work meets the definition of SR&ED (AW) ī. The RTA’s determinations will include situations where:Ī. “ The term ‘determination’ is used in the CRM to mean the result of the technical review conducted by the RTA with regard to whether the claimed work meets or does not meet the definition of SR&ED in subsection 248(1) of the Income Tax Act. Section 2.5.4 2 of the updated CRM for RTAs sets out the following definitions: An activity is therefore an element of work within a project. An SR&ED project is defined as a project comprising a set of interrelated activities that:Ĭollectively are necessary in attempting to achieve the specific scientific or technological advancement defined for the project by overcoming scientific or technological uncertainty andĪre pursued through a systematic investigation or search in a field of science or technology by means of experiment or analysis performed by qualified individuals.Ī project may consist of one or more activities. The CRM will use the term as defined in the eligibility policy:Įvery project claimed must fall within the definition of SR&ED in subsection 248(1) of the Act. Although the Act does not define or use the term ‘project’, form T661 requires SR&ED work to be claimed as SR&ED projects. ![]() The CRM uses the word ‘project’ frequently. Scientific Research & Experimental Development (SR&ED) Project as defined in the updated CRMĪs mentioned in section 2.5.2 1 of the updated CRM for RTAs, In this first post of the updated “CRM for RTAs” series, we will discuss: Several of these changes have been incorporated to clarify Canada Revenue Agency (CRA) guidelines regarding compliance issues, while others have been used to include further information on procedures and their requirements. Lastly, new supporting sections have been added as well, including several definitions which clarify key concepts during reviews. Updated CRM definitions: A closer look at changes made in 2015 to the Claim Review Manual (CRM) for RTAs.Īs of April 21, 2015, there have been significant revisions made to the Claim Review Manual (CRM) for Research and Technology Advisors (RTAs). Some of the links on this page may no longer be active. Warning: Over 5 years old *** This post is over five years old.
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