SREDucate Yourself – SR&ED Quiz 1: What is SR&ED?
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Are you SREDucated? Take our SR&ED Quiz to find out.
Here at SR&ED Education and Resources, our goal is to educate our readers on everything related to the Scientific Research & Experimental Development (SR&ED) tax credit. In other words, to SREDucate. We know our stuff, but how well do you know the SR&ED program? Take our SR&ED quiz to find out.
What is SR&ED?
Let’s start with the basics: Do you know what SR&ED actually is? Before delving into the SR&ED program, it’s important to know what the tax credit is, who governs it, and who’s eligible to apply for it.
To test your SR&ED knowledge, take our quiz below. Keep track of your selections as you go; the answer key is at the bottom of the page, and based on your success you’ll find out if you’re a SR&ED expert or if you need a little more SREDucation.
Q1. Who is responsible for the legislation that governs the Scientific Research and Experimental Development (SR&ED) program?
a)Â Â Â Â Â Â Â Â Canada Revenue Agency (CRA)
b) Â Â Â Â Â Â Â Department of Finance
c) Â Â Â Â Â Â Â Canada Development Investment Corporation (CDIC)
d) Â Â Â Â Â Â Â Canada Business
Q2. Who is responsible for the administration of the SR&ED program?
a) Â Â Â Â Â Â Â Canada Revenue Agency (CRA)
b) Â Â Â Â Â Â Â Department of Finance
c) Â Â Â Â Â Â Â Canada Development Investment Corporation (CDIC)
d) Â Â Â Â Â Â Â Canada Business
Q3. The SR&ED program is available to
a) Â Â Â Â Â Â Â Any business operating in Ottawa
b) Â Â Â Â Â Â Â Any business operating in Ontario
c) Â Â Â Â Â Â Â Any business operating in Eastern Canada
d)Â Â Â Â Â Â Â Â Any business operating in Canada
Q4. Can a tax-paying corporation that is experiencing losses in the current fiscal year claim SR&ED?
a) Â Â Â Â Â Â Â Yes
b) Â Â Â Â Â Â Â No
Q5. Are charitable and not-for-profit organizations that are tax-exempt eligible to claim SR&ED?
a) Â Â Â Â Â Â Â Yes
b) Â Â Â Â Â Â Â No
Q6. Which of the following activities is defined by the CRA as eligible for SR&ED?
a) Â Â Â Â Â Â Â Basic research
b) Â Â Â Â Â Â Â Applied research
c)Â Â Â Â Â Â Â Â Experimental development
d) Â Â Â Â Â Â Â All of the above
Q7. Which of the following activities are defined by the CRA as ineligible for SR&ED?
a) Â Â Â Â Â Â Â Market research or sales promotion
b) Â Â Â Â Â Â Â Quality control or routine testing of materials, devices, products, or processes
c) Â Â Â Â Â Â Â Research in the social sciences or the humanities
d)Â Â Â Â Â Â Â Â All of the above
Q8. Basic research is research done with a specific application in view.
a) Â Â Â Â Â Â Â True
b) Â Â Â Â Â Â Â False
Answers
1. b  2. a  3. d  4. a  5. b  6. d  7. d  8. b
How is your SR&ED knowledge?
Based on how many questions you answered correctly, here’s how you stack up:
0-1: Uh oh. You definitely need some more SREDucation. Read more about the basics of SR&ED on our “What is SR&ED?” page.
2-3: Well, it’s a start. You’ve had a little SREDucation. Find out more about the SR&ED program through our blog posts.
4-5: You passed! You’ve had a moderate SREDucation. Maybe you’d be interested to read some of our research and analysis on SR&ED?
6-8: Fantastic job! You’ve had great SREDucation. Our Comprehensive Guide to SR&ED provides even more information on SR&ED.
