We helped a client to potentially receive up to $200,000 in tax refunds annually

Situation

A key strength of Cunningham is our passion for helping clients make informed decisions that can help them be more successful as demonstrated by this case. While doing our due diligence of a prospective client, we ascertained that this highly successful manufacturing firm was in the business of continually developing new and improved products for their industry.

When we told them that we believed they were eligible for significant Federal and Ontario corporate income tax refunds as a result of the governments' Scientific Research & Experimental Development (SR&ED) programs, they didn't think it was worth pursuing. Why? First, they felt their activities didn't constitute scientific research or experimental development, and secondly, that even if they qualified, the amounts in question were not significant enough to qualify for assistance.

Solution

Once engaged by the firm, our tax professionals delved deeper into the situation. We established that an application for the SR&ED program was definitely warranted. By seeing beyond the numbers and challenging the status quo, we made a successful claim on our client's behalf. Subsequently over the last five years, this firm has received tax refunds of between $100,000 and $200,000 annually.