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Sask Wheat announces SR&ED tax credit for levy-paying producers

Saskatoon – The Saskatchewan Wheat Development Commission (Sask Wheat) is announcing that for the crop year ending July 31, 2021, wheat producers may claim 67.93 percent of their levy contributions to Sask Wheat as a qualifying Scientific Research and Experimental Development (SR&ED) expenditure on their federal tax return. In addition, farm corporations may also claim 48.97 percent of their levy contributions as a qualifying expenditure towards the Saskatchewan Research and Development Tax Credit program.

The SR&ED Program is a federal government program that encourages research and development by providing tax-based incentives. The program gives registered wheat producers access to investment tax credits (by means of cash refunds and/or reduction to taxes payable) for their levy contributions that are spent on qualifying research.

By using levy contributions to finance research and development work that benefits Saskatchewan wheat producers, Sask Wheat is able to participate in this program and distribute these tax-based incentives to producers. In the 2020-2021 crop year, Sask Wheat committed nearly $10.2 million to 50 projects.

Source : saskwheat

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