SRED is the short form of scientific research and experimental development program. It is a tax credit program provided by the Canadian government. Tax credit is a useful system, which reduces the income tax that is liable to be paid. Therefore, it reduces the amount substantially.
What is the purpose of the program?
The Ontario government offers various types of tax programs which help the businessmen and young entrepreneurs to start and flourish their business. It is type of consulting firm, where your financial accounts will be handled carefully by the professional and experienced auditors of the tax department.
They will recommend you certain solutions about your fixed and current assets. You can consult them and get benefitted. You don’t have to worry about showing your capital account, as they won’t disclose it to any other organizations. They maintain total confidentiality of your business transactions and final accounts.
Hiring the experts -
You can hire an experienced person, from their team. This is because they need time to evaluate and calculate the funds accurately. Some of the taxes can be refundable. Such tax credits considerably decreases the actual tax amount the business firm owes and it can result more into profit and that too in a complete legal way.
Research of the transactional amount should always be completed by eminent and government registered firm, so that you are completely sure about their proficiency and clarity. The minimum tax credit limit may be 20 percent, but it can increase depending upon the company accounts, fund flow and cash flow statements.