Expenditure Limit

"for taxation years beginning after December 15, 2024, the maximum expenditure limit has been increased to $6M for CCPCs and ECPCs.\n\nfor CCPCs, the gradual reduction in the $6M limit now begins at $15M of taxable capital used in Canada for the previous taxation year and is reduced to nil after $75M;\n\nfor ECPCs, the average annual revenue over the last three fiscal years is used to calculate the gradual reduction of the $6M expenditure limit; and\n\nCCPCs may also elect to compute their reduction using this revenue-based method rather than their taxable capital.\n\nNeal Armstrong. Summaries of CRA Webpage, SR&ED Investment Tax Credit Policy 7 October 2026 under s. 127(5), s. 127(10.1), s. 127(10.2), s. 127(10.3), s. 127(10.5), s. 127.1(2) – refundable investment tax credit, qualifying corporation, qualifying income limit, s. 127(9) – ECPC, and s. 220(7).\n\n12 October 2026 - 11:29pm"