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R&D Tax Credit FAQs

Tax credit consultants are available now
Our consultants are available to answer your questions right now. Whether you call or use the form to send an email, we are ready to chat!
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Is this something new?

 

  • No. R&D tax law has been in place since the early 1980's.

  • Rule changes and court cases have made it easier for more businesses to participate in these credits and for more activities to qualify.

  • Only about ⅓ of eligible companies with R&D activities are claiming the credit.

 

 

I'm already taking R&D deductions

 

  • 'Credits' for qualified activities are available in addition to deductions.

  • The credit is a dollar-for-dollar offset against your taxes.

 

I don't have any R&D

 

  • If you develop new products, design manufacturing processes or tooling, pursue process improvements or develop custom software you have qualified activities and may have overpaid taxes.

  • Your competitors are claiming the credit – does this put you at a competitive disadvantage?

  • When was the last time you had a technical assessment performed by a qualified R&D expert confirming your belief?

 

 

What is the benefit?

 

  • Cash Flow - credits are cash and can be significant.

  • Reduce tax liabilities for current and future years.

  • Recover significant overpayment of taxes in prior three years and reduce taxes and estimated payments in current and future years.

  • Use of credits can be a means to enhance M&A transactions and earnings per share calculations.

 

 

I already have a tax advisor.

 

  • Our field technicians spend 2000 hours annually consulting on R&D tax matters, while the average tax generalist spends less than 40.

  • The vast majority of advisors have very limited knowledge of R&D tax credit law.

  • Has your advisor discussed the impact of the 2001, 2004, 2007, 2010 & 2014 regulatory changes on R&D credits for your business; what about how 2009, 2010, 2012 & 2014 court cases that may affect your credit potential?

  • We team operational, engineering, accounting and tax experts to enhance and preserve your rights to these credits.

  • There is a direct correlation between the amount of your defensible credit and the expertise of the advisor performing the tax credit study.

 

 

What does the study cost in money and time?

 

  • We perform a no-risk assessment first. There is no charge if an r&d credit benefit does not exist for you.

  • Your team's cumulative time commitment is typically <12 hours for the assessment and <30 hours for the completed study.

 

 

It seems too good to be true.

 

  • These credits have been available since the 1980's.

  • Recent changes have made these credits more accessible to middle market companies.

  • The law isn't new, knowledge of it and awareness of its application to your business has increased.