The Chemistry Industry 2020 Federal Pre-Budget Consultation Submission to the Standing Committee on Finance and Economic Affairs

Recommendations:

  1. Reform the SR&ED program to help foster R&D in Canada by:
    • raising the investment tax credit to 20% from the current 15%;
    • eliminating or substantially raising the upper limit for taxable capital phase-out range from the current $50 million; and
    • reinstating capital expenditure eligibility that was phased out beginning January 1, 2013;
    • Eliminate the 20% disallowance on arm’s-length consulting payments.
  2. Establish the Plastic Technology Innovation Fund (PTIF) with an initial allocation of $200 million and operated by Natural Resources Canada to further research and development of groundbreaking plastic technology applications in Canada.
  3. Re-authorize the existing funding for the Chemicals Management Plan (CMP) and specifically develop and expand all aspects related to international development to share Canada’s expertise.