Perception | CRA Dynamics
Reframing the Audit
Review ≠ Rejection The term "SR&ED review" often triggers immediate anxiety, especially for first-time claimants who instinctively assume their submission is flawed or facing outright rejection. This misconception can deter businesses from claiming the innovation capital they rightfully earned. In reality, a review is not a rejection, nor is it an adversarial audit. It simply means the assigned CRA Research and Technology Advisor (RTA) requires additional context to conclusively determine the eligibility or extent of your work.
Procedure | Initial Assessment
First Contact and Clarification
The Initial Assessment & First Contact When a claim is selected for review, the RTA begins by examining the technical narratives and financial schedules submitted, often cross-referencing them with your historical claims or external industry data. Their objective is to clarify ambiguities, not to find reasons to deny the claim. This process typically begins with a direct phone call. In many instances, a well-prepared claimant—or their SR&ED consultant—can address all of the RTA’s questions during this initial conversation, successfully resolving the review without further steps.
Verification | Technical Defense
The Site Visit and Formal Report
The Site Visit & Formal Report If a phone call is insufficient, the CRA will schedule a site visit (or a detailed virtual meeting). While this sounds intimidating, it is highly structured. The RTA will provide an agenda in advance, outlining the specific projects and issues they wish to discuss. During the visit, they will interview your technical personnel, review contemporaneous documentation, and occasionally tour your R&D facilities. By briefing your team and organizing your data beforehand, you ensure a seamless experience. Following the review, the RTA will issue an SR&ED Review Report, clearly detailing their observations and final decision.
Strategy | Resolution Pathways
Dispute Mechanisms and Advocacy
Conclusion — Dispute Mechanisms The CRA process is designed to be transparent. If you fundamentally disagree with the RTA’s findings in the Review Report, you are not out of options. The CRA provides a formal escalation path: you can escalate the dispute to a Review Manager, request an administrative review, or file a formal 'Notice of Objection' within 90 days. However, navigating the review process alongside an experienced SR&ED consultant typically ensures that technical narratives are clearly communicated early on, resolving ambiguities long before formal appeals become necessary.
