British Columbia SR&ED Tax Credits Up to 49%
Combine the federal SR&ED credit with the BC SR&ED Tax Credit to maximize your R&D tax recovery in British Columbia.
BC SR&ED Tax Credit
British Columbia offers one of Canada's most generous provincial SR&ED credits at 14% — fully refundable for CCPCs. Combined with the federal enhanced rate of 35%, BC-based CCPCs can recover up to 49% of eligible R&D expenditures. BC's thriving tech sector in Vancouver, Victoria, and Kelowna makes it one of the top provinces for SR&ED claimants.
Provincial Credit Rate
14%
Refundable
Yes (for CCPCs)
Expenditure Limit
None
Combined Max Rate (CCPC)
49%
Combined Max Rate (Non-CCPC)
29%
Carry Forward
10 years
Federal + BC Credit Stacking
Here's how the credits combine for a CCPC with $500,000 in eligible R&D salaries.
Enhanced rate for CCPCs
Refundable
Effective rate: 49%
This example uses salaries only. Including contractor costs (at 80%) and materials would increase the total. Overhead (55% proxy) is added automatically. Use our calculator for a detailed estimate.
British Columbia Eligibility Requirements
- Must have a permanent establishment in British Columbia
- 14% rate applies to qualifying BC SR&ED expenditures
- No provincial expenditure limit — the full 14% applies to all eligible spending
- For non-CCPCs, the credit is non-refundable but can be carried forward 10 years
- Eligible expenditures must be incurred in BC and align with federal SR&ED definitions
Important: Provincial credits are claimed on your British Columbia corporate tax return, separate from your federal T661 filing with the CRA. Ensure you file both to capture the full combined benefit.
Other British Columbia R&D Incentives
Beyond SR&ED, British Columbia offers additional programs that can be stacked with your tax credits.
BC Tech Fund
A $100M venture capital fund supporting BC-based technology companies at various growth stages.
Innovate BC
Provides programs and funding to help BC companies commercialize technology, including the Ignite program for startups and the Venture Acceleration Program.
Digital Technology Supercluster
A federal supercluster initiative headquartered in BC, funding collaborative R&D projects in digital technologies.
Maximize Your British Columbia SR&ED Credits
Glauq automates your federal and British Columbia provincial SR&ED claims — ensuring you capture every eligible dollar across both programs.
British Columbia SR&ED FAQ
What is the BC SR&ED tax credit rate?
British Columbia offers a 14% tax credit on eligible SR&ED expenditures incurred in the province. This is one of the highest provincial rates in Canada and is fully refundable for CCPCs.
Is there an expenditure limit for the BC credit?
No. Unlike Ontario, BC does not impose a provincial expenditure limit. The 14% rate applies to all eligible SR&ED expenditures incurred in BC, regardless of amount.
How much can a BC software company claim in total?
A CCPC in BC can claim 35% federal + 14% provincial = 49% of eligible expenditures. A company with $500K in R&D salaries could receive up to $245,000 in combined credits.
Can non-CCPCs claim the BC SR&ED credit?
Yes, but the credit is non-refundable for non-CCPCs. It can be used to reduce BC tax payable and carried forward for up to 10 years.