Agency's consultation on the impact of contingency fees within the SR&ED program.
Our clients are sophisticated businesses that make informed decisions when entering into business arrangements, such as whether to use a contingency fee arrangement or a fee-for-service arrangement when hiring external advisers to help prepare their SR&ED claims.
Our experience does not suggest that limiting the use of contingency fees in the SR&ED program would reduce compliance costs for taxpayers. Rather, Canadian businesses use contingency fee arrangements to reduce actual and perceived risks associated with claiming SR&ED benefits.
Please read our response to the specific matters of interest noted in the consultation paper.