A Tax Credit is an immediate source of cash, as well as a significant reduction to current and future years' federal and state tax liabilities.
Many businesses owners in nearly every industry are unaware that federal and state research and development (R&D) tax credit programs exist that may reward their day-to-day efforts aimed at producing an improved product. The Research and Development Tax Credit is a government-sponsored benefit that provides cash incentives for companies conducting R&D in the U.S. These economic incentives were implemented to stimulate research and development in industries of all sizes, to encourage companies to work together, and to transform the economic landscape.
The Research & Development (R&D) tax credit is for businesses of all sizes, not just major corporations with research labs, and many companies are surprised that they qualify. If you think you must have research labs with white-coated scientists to qualify, think again. Any company that designs, develops, or improves products, processes, techniques, formulas, inventions, or software may be eligible. In fact, if a company has simply invested time, money, and resources toward the advancement and improvement of its products and processes, it may qualify.
More than $5 billion in federal R&D tax credit benefits are given out annually.
Even better, under recently issued government regulations, more industries now qualify for the R&D tax credit than ever before. Plus, the R&D tax credit regulations allow eligible taxpayers to “look back” to all open tax years (typically three years plus the current year) for potential R&D credits that were never claimed.
alliantgroup has established a team of senior level specialists whose sole focus is the R&D tax credit, and with each of our studies we provide complete irs audit defense on both the federal and state levels.
For more information or if you think your business could collect benefits under the R&D Tax Credit, please click here to contact alliantgroup.