Tax Specialty Group helps companies of all sizes realize immediate tax savings and payroll tax reductions through the research and development tax credit.
Since 1981, the R&D Tax Credit has been one of the most valuable credits used by companies in a variety of industries. Every year, the R&D credit yields billions of dollars in federal and state benefits to companies engaged in qualifying research. Yet, many companies are unaware that their day-to- day operations could qualify for a dollar-for- dollar reduction of their income tax liability.
The R&D Tax Credit and other related tax breaks save U.S. businesses more than $12 billion 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 research credits that were never claimed.
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.
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.
Industries that commonly benefit from the R&D credit are:
- Aerospace and Defense
- Clean Technology
- Communications and Media
- Food and Beverage
- Forest Products
- Health Care
- Life Sciences
- Manufacturing and Consumer Products
- Professional Services
- Wineries and Vineyards