For a long time, R&D tax credits were mostly associated with large companies conducting research in software, manufacturing, pharmaceutical and high-tech companies. As a matter of fact, many activities associated with agriculture can and do qualify. When you stop to think about it, R&D is essential to driving technological change in agriculture, and many people working in the industry engage in R&D activities on a weekly basis—activities that could qualify for a significant tax credit.
Small Business Week, which runs now through May 6, is an excellent time for Tax Point Advisors to remind small businesses of an outstanding opportunity to claim valuable tax credits for eligible R&D activities.
The federal tax code has included R&D tax credits to businesses for more than three decades. Contrary to a common misperception, however, R&D tax credits are not limited to scientists and laboratory-based researchers. In fact, many of the activities conducted by architecture firms qualify, and the benefit can mean tens of thousands of dollars in tax savings.
It has been well over one year since Congress enacted legislation making R&D permanent. With the many questions surrounding these new enhancements, Tax Point Advisors offers the following clarifications to help business owners understand whether they may utilize the credit.
Tax Point Advisors, a leading expert in research and development (R&D) tax credits and specialty tax services, has hired Shaun Yeh to head its southern regional office.
New IRS guidance, Notice 2017-23, eases the way for small businesses to benefit from a new option that allows them to apply a portion or all of their R&D tax credits against their payroll tax liability, rather than their income tax liability.
In welcome news for taxpayers who work for themselves and businesses with assets under $10 million, the IRS has made permanent an expedited process it had been pilot testing by which small businesses and self-employed individuals (SB/SE) can resolve tax disputes.
Software development is often overlooked when it comes to research and development (R&D) tax credits, which is rather ironic when you think about the innovation, creativity and invention that is such an intrinsic part of this industry. Any time your software company makes improvements to products or processes, there is a good chance that your activities may qualify for valuable R&D tax credits that can greatly reduce your tax burden.
As part of the Consolidated Incentive Act of 2003, amended in 2007, the state of Arkansas offers valuable research and development (R&D) tax credits that may offset up to 100 percent of a business’ tax liability in a given year.
At first glance, it may seem unlikely that the poultry industry would have much in common with federal and state research and development (R&D) tax credits. After all, for years, R&D tax credits have been associated with large manufacturing, high-tech and medical companies. However, businesses engaged in the poultry industry are ripe with qualifying opportunities for valuable tax credits associated with the activities they conduct for improved products and/or processes.