“Vast majority” is literally only one company I have ever heard of in Canada. Slack didn’t bother because they could not claim at the 35% and Andreesen showered them with so much cash it simply wasn’t worth the hassle. But every other software company I have ever had any insight into in Canada claims SR&ED. And not by lying on the forms… Everyone gets audited typically every 3 to 5 years. You can’t make it through an audit with B/S. They are very good at sussing out the bad claims and yes, that is a punishing experience as it should be.