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Research and Development Tax Incentives for the Chemical Industry

The chemical and related industries are strong candidates for generous government-sponsored research and development (R&D) incentive programs. However, many companies are unaware of the full breadth and scope of the potential benefits that R&D incentives can provide. Capturing the full extent of tax credits for R&D requires the exploration of multiple cost centers, not just a dedicated R&D group. In fact, not all qualifying R&D activities take place in traditional R&D laboratories.

In many companies, successful formula development, process development, pilot batch production, scale-up processes, method development, and analytical testing of experimental or improved products involves extensive experimentation and testing to ensure product quality and process efficiency. In addition, many of the individuals involved in these R&D activities may not belong to the laboratory or chemist groups, and consequently are easily overlooked for purposes of the R&D tax credit.

If your company operates in the pharmaceutical, fine chemicals, intermediates, excipients, solvents, analytical instrumentation, polymer, oil and gas, or laboratory equipment and glassware industry, there is a strong chance that you could benefit from an R&D Tax Credit study. Let alliantgroup’s chemistry experts help you claim the credits that you deserve.

Examples of Chemical Innovations Eligible for R&D Tax Incentives Include the Following:

  • Designing new drugs, compounds, and intermediates
  • Developing new applications for existing chemicals
  • Conducting tests to satisfy foreign regulatory requirements
  • Development of new testing methods/protocols
  • Developing reagents and devices for testing
  • Experimentation to increase product yield and decrease reaction times
  • Improving a product’s shelf-life
  • Developing new or improved techniques or formulae
  • Developing new or improved feedstocks
  • Developing new or improved manufacturing processes
  • Designing and developing scaled-up manufacturing processes
  • Generating pilot batches of new products for testing and validation
  • Implementing automation processes or robotics
  • Developing new or improved technologies

alliantgroup’s Chemical Industry Specialization Team

In order to better serve the chemical and related industries, alliantgroup has developed an Industry Specialization Program that focuses on the qualification and quantification of R&D tax benefits for companies operating in the diverse areas that comprise the chemical industry. alliantgroup’s Chemical Industry Specialization Team employs chemists with varied research and industry experience. These individuals have educational backgrounds with academic research experience within the disciplines of physical, atmospheric, environmental, inorganic, organo-metallic, synthetic organic, and biochemistry. In addition, alliantgroup’s chemical industry specialists have worked in the catalysis, petrochemical, waste treatment, analytical, and dietary supplement industries. These individuals have vast knowledge of ISO and current good manufacturing practices. alliantgroup has qualified and quantified credits for corporations ranging from small, private chemical developers to large, multi-national, publicly-traded biologics manufacturers.

ManufacturingManufacturing R&D Tax Credit Whitepaper

Download our free Manufacturing R&D Tax Credit white paper to better understand recent regulatory changes and IRS requirements.

Download alliantgroup's Manufacturing R&D Whitepaper
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