| SR&ED cases regarding "technological eligibility" | | | | | |
| 1 | TECHNOLOGICAL | Northwest Hydraulic Consultants | 97-531-IT-G | 1998 | "system uncertainties" basis for eligibility? | Win | 4 of 5 projects eligible due to "system uncertainties" | Landmark case with "exemplary " project | High |
| ADVANCEMENT | Rainbow Pipeline | 96-4369-IT-G | 1999 | definition of "technological advancement" (TA) | Win | rejection of an hypothesis is an advance | Significant precedent definition of "TA" | High |
| (TA) | Airmax* | 2012 TCC 376 | 2012 | Technological Advancement (TA) | Win | system uncertainties re. heat source, pressure, ducts | Use of informal appeal procedure | High |
| | Les Abeilles (GE) | 2014 TCC 313 | 2015 | Process improvements – 4 projects little evidence | Win | Admissability of verbal evidence if “highly credible” | Credible witnesses counters weak documentation | Moderate |
| | 6379249 Canada Inc. | 2015 TCC 77 | 2015 | Printer design - problems after commercial release | Win | Strong evidence of TU and TA + example | Excellent example of eligible project | High |
| | Acsis EHR | 2016 TCC 50 | 2016 | Work to increase stability | Win | No existing methods | Still lacks detail on specific hypotheses | Moderate |
| | Formadrain | 2017 TCC 42 | 2017 | Properietary methods chemical & mechanical | Win | Method unique in industry & cross disciplinary | Excellent example of eligible project | High |
| | A&D Precision | 2019 TCC 48 | 2019 | TA in precision machine projects | Win | System uncertainty but still lacks detail | Use of expert testimony favorable | Moderate |
| | Beton Mobile | 2019 CCI 278 | 2019 | Concrete processes - 5 criteria | Win | 6 of 14 projects eligible each detailed | questions on why some ineligible | High |
| | CRL Engineering | 2019 TCC 65 | 2019 | Distributed computing Evidence & Advancement | Win | PhD researcher project published scholarly journal | sequentially, progressively complex options via system snapshots | Moderate |
| | Andre Lamy MPC | 2020 TCC 61 | 2020 | Whether Directly Engaged | Win | Work by Dr. deemed on behalf of MPC | 4 eligible project examples - 2 with sponsors | High |
| | LifeChoice | 2017 TCC 21 | 2017 | | Lose | Insufficient testing of hypotheses | Change in interpretation of required testing? | High |
| | Flavornet* | 2017 TCC 179 | 2017 | Defining Standard practice | Lose | 4 of 5 criteria not met | Did TCC consider relevant evidence? | High |
| | Novalia (Wind turbines) | 2016 TCC 81 | 2017 | Wind turbine with patent | Lose | Lack of Qualifications? PhD in music. | Hypotheses must be based in science | Moderate |
| | Robotx Solutions Inc. | 2017 TCC 73 | 2017 | Defining Standard practice | Lose | Process methods not benchmarked | Unclear how different that Les Abeilles? | Moderate |
| 2 | SYSTEMATIC | Hun-Medipharma* | 97-2305-IT-I | 1997 | eligibility of analysis without "clinical trials" | Win | SR&ED work can be "experimentation OR analysis" | "SI" envisions contemplation of technological alternatives | Moderate |
| INVESTIGATION | RIS Christie | [1996] ETC 537 | 1996 | "lack of documentation" | Lose - round 1 | ineligible - lack of any experimentation or analysis | Successful result &/or patent NOT proof of experimentation | Moderate |
| (SI) | | [1999] ETC 2004 | 1999 | death of key witness | Win - round 2 appeal (FCA) | engineer died prior to trial - court sympathetic | courts may be sympathetic for CCPC's in extreme circumstances | Moderate |
| | Murray Arlin DPC* | 2012 TCC 133 | 2012 | "lack of documentation" | | | | High |
| | Mac & Mac Hydrodemolition | 2017 TCC 256 | 2018 | Documentation of hypotheses | Lose | Lack of detailed measurements | Generate & retain evidence | Moderate |
| | Indusol | 2020 TCC 103 | 2020 | Systematic Investigation (SI) | Lose + costs | No SI even though TU (Technological Uncertainty) | Need to show progressive hypotheses | Moderate |
| | National R&D | 2020 TCC 47 | 2020 | Systematic Investigation (SI) | Lose + costs | No SI even though TU | Need to show progressive hypotheses | Moderate |
| | | | | | | | | |
| SR&ED cases regarding Financial issues | | | | | | | |
| 1 | WAGES | Synchrosat | 2000-1378-IT-I | 1995 | allocating salary to only SR&ED activities | Lose | only SR&ED percentage claimable | need system to document employee experimenation time | Low |
| | Ergorecherche | [1998] CTC 2062 | 1998 | time allocation - SR&ED vs. non-SR&ED projects | Lose | "reasonable" basis for allocation required | could structure "non-SR&ED" done during unpaid time | Moderate |
| | Alcatel | 2005 TCC 149 | 2005 | stock options - whether SR&ED "cost" incurred | Win - round 1 | SR&ED "cost" is dilution of shareholder interest | Courts contemplate "costs" not in taxable income | High |
| | | | | | Draw - round 2 | legislation to disallow > Nov. 14, 2005 | 2 year window to amend 2004 - 2005 taxation years | High |
| | Jaft | 2015 MBCA 77 | 2016 | Wages only payable if SR&ED approved | Lose | | could claim unpaid wages on sch 32 line 315 | |
| | Oldcastle | 2016 CCI 183 | 2017 | SR&ED wages based on sales | Win | Salary & wages definition 248(1) | Payments not considered commission | High |
| | AG Shield | 2017 TCC 68 | 2017 | Allocation of SR&ED wages | Win | 100% allowed even though 23% | Dividends & non T-4 payments included? | High |
| | | | | | | | | |
| 2 | MATERIALS | Consoltex | 97 DTC 724 | 1997 | materials used in SR&ED then sold | Win - round 1 | eligible if required for SR&ED | short-lived precedent to include "commercial materials" | Low |
| | | | | | Draw - round 2 | New legislation repayment of ITC's on sale | Clarification: labour eligible - materials "sold" excluded | High |
| 3 | ASSISTANCE/ | Com Dev Ltd. | 96-4343-IT-G | 1999 | government fees - "assistance" or "revenue" | Win | fixed price contract not purchase of SR&ED | Structure SR&ED contracts-"taxpayer" to bear "risks" | High |
| GRANTS/ | | | | | | | | |
| EXPERIMENTAL | Les Cultures Laflamme | 89-2514(IT) | 1989 | sale of experimental production | Win | sale irrelevant if SR&ED performed | clarifies SR&ED labour eligible despite subequent sale | High |
| PRODUCT SALE | | | | | | | | |
| 4 | UNPAID | Chartwell | 2004 TCC 728 | 2002 | eligibility of unpaid amounts / bad debts | Win / lose | claim costs during year incurred (then 78(4)) | opportunity to claim unpaid wages (*unless forgiven) | High |
| AMOUNTS | | | | | | | | |
| 5 | FOREIGN | LGL | 96-4726 (IT)G | 1999 | data collection outside Canada SR&ED? | Lose | ineligible if physically outside Canada | courts took literal interpretation of "in Canada" | Moderate |
| EXPENSES | | | | | Draw - round 2 | Subsequent events: eligible if within "EEZ" | marine work eligible to 200 nauts - still "unclear" travel abroad | Low |
| 6 | FILING | Datacalc Research | 2000-1413-IT-G | 2000 | extension of 18 month filing deadline | Lose | qualified expenditures by filing due date | object under proper sections of ITA - see Alex Parallel | Low |
| DEADLINE | Alex Parallel Computers | T-1512-97 | 1998 | basis for extension of filing deadline | Win | CRA cannot restrict Minister extend deadlines | extension for reasons other than CRA IC (illness/disasters) | High |
| | | | | | Draw - round 2 | Legislation Nov. 17, 2005 no SR&ED extension | must file within 18 months of year end - preferably 15 | Moderate |
| | 6379249 Canada Inc. | 2015 TCC 77 | 2015 | Proving project filed with claim | Win | Verbal evidence if “highly credible” | | Moderate |
| | Easyway Cattle | 2015 TCC 211 | 2016 | Failed to file sch 31 | Lose | All prescribed info in prescribed form | dangers of filing past 15 month CRA admin deadline | Moderate |
| | Westsource | 2017 TCC 9 | 2017 | Complete claim | Lose | Projects only filed by related Co. | 18 month deadline is absolute | Moderate |
| 7 | QUALIFIED | All Colour Chemicals | [1993] CTC 3050 | 1993 | Can CCPC partners claim 35% refundable ITC's | Lose | 127(8) partnership "over-rides" 127(10.1) refunds | Qualified CCPC's should avoid using SR&ED partnerships | High |
| CCPC STATUS | HSC Research | CTC 2283 (TCC) | 1995 | Factors in evaluating defacto control | Win | separate directors - no control evidenced | Landmark case on definition of "defacto control" | High |
| | Mimetex Pharmaceutical | 1999-4847-IT-G | 1999 | if US director with 50% of shares has control? | Lose | US director w/o consent Canadian director(s) | consent from 1 of 2 Canadian directors to solve problem | High |
| | Terra Remote | 2006 TCC 279 | 2006 | Is shareholder with < 50% ownership arm's length? | Win | ITA 256 (control) & 251 (related persons) | Confusing "specified employee" (>10%) with "arm's length" | Moderate |
| | Mindready Solutions | 2015 CCI 17 | 2015 | Was private Co. controlled by Public? | Lose | Several factors determining factual control | Moderate | Moderate |
| | Aeronautic Dev Corp | 2017 TCC 39 | 2017 | Defacto Control | Lose | Undue influence | Be careful even if <50% votes | Moderate |
| | CO2 Solution Technologies | 2019 CCI 286 | 2019 | Control by public co. | Lose | Defacto control established | Loss with costs | Moderate |
| 8 | ITC USE | Ainsworth Lumber | 98-1052-IT-G | 2001 | ordering of ITC use - refundable vs. non-refundable | Win | Act clarifies that taxpayer "may" deduct [credits] | taxpayer elects order of refundable vs. non-refundable credits | Moderate |
| 9 | SR&ED FRAUD | Tempora | SCC | 2018 | level of fine | Lose | Each of 3 charged 100% for false representations | fine is 300% of amount claimed | High |
| | R v. Elhami | 2017 QCCQ 2684 | 2017 | level of fine | Lose | Each of 3 parties charged 50% false dates | fine is 150% of amount claimed | High |
| 10 | REASSESSMENT | Rio Tinto Alcan | 2017 TCC 67 | 2017 | Can CRA reassess 5 years back? | Lose | Filed waivers for other reasons | Increased risk to all claimants | High |
| PERIOD | | | | | | | | |
| 11 | SHAREHOLDER | Guy Laliberte | 2018 TCC 186 | 2018 | Space flight $4 vs. $42 million | Lose | Full amount taxable | Denied as marketing expense | Moderate |
| BENEFIT | | | | | | | | |
