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RD Action Consultant > Blog > Identification > Finding SR & ED in IT : Where do we start ?
There is R&D in ElectronicsThere is R&D in Electronics

Finding SR & ED in IT : Where do we start ?

Identification19Jan2017No Comment

Where do we find SR & ED in IT?

Finding SR & ED in IT. It is becoming increasingly difficult to define SR & ED activities because of the evolving requirements imposed by the CRA. But before putting any effort into producing a document, documenting and making a claim, you need to know how to identify areas where there is good potential to claim SR & ED credits.

In this category of articles (Identification) we explore various ways to find SR & ED “nuggets” to explore. We also look at some examples of projects in different fields of technology. Today we study the field of computer science. If you are in the chemical, mechanical, manufacturing or other sectors you should take a look … if you change a few words this applies to you too also.

« When claiming R&D tax credits, forget about functionalities, focus on the technology and ways to go beyond its limits »
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Software development is certainly one of the most popular technology sectors in the SR & ED projects claimed. According to recent CRA statistics, more than one-third of claims come from computer development in various forms (software, gaming, multimedia, internet, etc.).

What limits identifying SR & ED projects?

The main obstacle to identifying potentially eligible projects is … the computer scientist himself. Indeed, most experienced developers tend to see their job as a full-time problem solver with the consequence that they see no limits to what they can develop – there is almost no insoluble projects provided they are allowed enough time to solve the situation, of course. This view is too general. We must focus on more specific and more demanding challenges.

A second obstacle to identifying SR & ED projects is that they all use roughly the same development tools, which themselves vary with time and patterns. How does our project in Java differ from the neighbor’s project in Java? Here the focus is not put in the right place. Regardless of the tools, this is what you do with it and how you develop it that really matter. Look at the limitations of your tools. Have you tried to overcome, to go beyond them?

At the other extreme, non-computer scientists see software development as a variant of magic and mistakenly believe that any computer development should be claimed, especially if it is expensive. In reality it is necessary to look for the portion of the project where the computer scientist meets a technological challenge. It is therefore a subset of the project that can be claimed. And the best positioned to define these subprojects are the IT professionals themselves, not the promoters nor the accountants.

The expert should describe the technological challenges. And the best way to identify SR & ED eligible projects is to change the perspective. Instead of seeing an application project to manage customer data, rather looks at the development and integration of technologies into a platform that synchronizes several tools, several components and in a very unique and original way.

Examples in computer science

Let us now look at some examples from computer projects: There is often a potentially eligible SR & ED project when developing a technology that offers:

  • A solution or a kernel to connect heterogeneous (varied) components;
  • A new architecture on at least one of its technological dimensions. Especially if we have not found any equivalent capable of linking these components while satisfying several constraints;
  • An integration of several technologies that have never been done according to our research. Or that integrate one or many MORE, (more speed, more integrity, more efficiency, etc.);
  • A unique technological component (specifying how technologically unique it is);
  • A generalized solution for several tools or technological platforms not compatible with each other. This is called a generic solution;
  • Work on the design and development of a platform that solves several technological problems;
  • A technology bridge between very incompatible remote generation technologies (eg, connecting an AS-400 to the web or interfacing a COBOL application with cellular applications);
  • Systematic research of solutions to solve problems of performance, data integrity, stability of platforms, etc. ;
  • A solution that even your supplier(s) advised you against, or recommended not to do because “it’s impossible”;
  • A solution that meets several incompatible criteria, constraints or standards (eg performance and integrity of the results, etc.);
  • A revolutionary concept for synchronizing, integrating, sequencing or maximizing technologies.

Conclusion

In conclusion, there is no secret, forget the features and focus on the technology and on ways to go beyond its limits.

Do you have any tricks to better identify potential SR & ED projects in computer science or elsewhere?

Did you like your reading? Tell us so. What should be added? What topics are you interested in? You did not like this reading? Tell us. What less have you appreciated in this text?

Articles Similaires :

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Michel Rheault, M.Sc.

President, R&D Action. ------ Notre équipe est formée de spécialistes fiscaux, scientifiques et techniques qui comprennent les nuances du programme et de votre R & D. Nous travaillons avec votre équipe pour identifier et définir les projets éligibles de RS & DE, pour préparer un dossier clair et précis et pour le défendre, le cas échéant. ------------------------------------------------------ Our team is made up of tax, scientific and technical specialists who understand the nuances of the program and your R & D.. We work with your team to identify and define eligible SR & ED projects, to prepare a clear and accurate record and to defend it, when necessary.

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