I see you're nodding, Mr. Olson.
Evidence of meeting #40 for Industry, Science and Technology in the 39th Parliament, 2nd Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was industry.
Evidence of meeting #40 for Industry, Science and Technology in the 39th Parliament, 2nd Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was industry.
5:10 p.m.
Senior Vice-President, Technology and Engineering, Standard Aero
I'd agree, it's definitely less than 10%.
5:10 p.m.
Conservative
The Chair Conservative James Rajotte
The final point I wanted to make was on the scientific research and experimental development tax credit program.
Mr. Hoffman, in your presentation you referenced it. Mr. Boitson and Mr. McKay, you talked about it earlier this afternoon.
The general reaction we get is that it's a good program, it's one of the most generous R and D tax credits in the world, but we do get recommendations on changing it, i.e. making it at least partially refundable. So a very quick question again: would you recommend changes to that program?
5:10 p.m.
Vice-President and General Manager, Bristol Aerospace Limited
My earlier comment was to definitely make a portion or all of it--as much as we can--refundable, because that truly will promote more of the bigger R and development in our industries, which we need to do.
We're still evolving and developing in industry. It's not like rolling the dice, but there are not always winners there. We take some chances, we take some risks, and we hope it's going to pay off. Having that element as part of a refundable portion would certainly help. We would get some contributions back for taking that initiative.
5:10 p.m.
President, Boeing Canada Technology, The Boeing Company
In the areas we've taken advantage of it locally in Boeing Winnipeg it has been very generous.
Quite honestly, if I had more resources to put in, adding up all the things we do that could take advantage of the credit, I would certainly do that. When it's time to make hardware and focus on manufacturing, you have to let your finance analysts do other things. I know there are probably opportunities that we've not taken advantage of.
On the surface, I would say don't change it much, unless you're going to make it more advantageous to industry. It is very attractive from the standpoint of what I've seen elsewhere in the world in how those governments have helped industry with reinvesting in their own performance and competitiveness.
5:10 p.m.
Senior Vice-President, Technology and Engineering, Standard Aero
I would definitely concur with both of those statements. I think being refundable would be valuable, even with the caveat of it being reinvested back into R and D.
The tracking is certainly a piece of work, and just the interpretation required.... I think it's an evolving body of knowledge to understand what should be qualified, and the record keeping. If there were some changes or ways to facilitate that in a better way, it would help.
5:10 p.m.
Conservative
The Chair Conservative James Rajotte
Gentlemen, I want to thank you all for appearing before us today. It was an excellent discussion. As the chair, and I think I speak for all committee members, I think the trip to Winnipeg was incredibly fruitful. I'm certainly glad we came. The two panels we had here this afternoon, as well as the three tours, were very substantive.
As an Edmontonian, I have to say I was a little embarrassed that I did not know all this was going on in Winnipeg. But I'm very glad we came as a committee. It was a very educational experience for all of us. Thank you for appearing.
Members, we have about five to ten minutes to get to the bus, which is just outside the doors.
If you want to smoke, you can go ahead now.
Thank you very much gentlemen.
The meeting is adjourned.