There is one thing that may hold some business owners back—the fear of being audited by the IRS. While only a small percentage of businesses that apply for R&D credits actually get audited, it is important they maintain precise documentation of R&D activities that align with qualification criteria so that if an audit is required, they are fully prepared.
R&D tax credits can immediately benefit a company as a significant source of cash for reinvestment or other needs. They also provide a significant reduction to current and future tax liabilities. Tax Point Advisors has been able to help companies claim significant tax credits ranging from tens of thousands up to millions of dollars. Through the following examples, we hope you will gain a deeper understanding of the outstanding opportunity that is available for your company for your eligible activities.
As one of several refundable credits available in the state of New York to reduce income tax, the New York Excelsior R&D credit program is one of the best tax credits in the Northeast. New York’s Excelsior Jobs Program encourages businesses to expand in and relocate to New York while maintaining strict accountability standards to guarantee that businesses deliver on job and investment commitments.
To qualify for any of the four programs under the New York Excelsior Jobs Program, businesses must meet and maintain certain established job and investment thresholds.
Doug Samson, Vice President, Western Region at Tax Point Advisors discusses the latest tax credit and incentive news with Bob Friedenthal.
Has your company constructed, purchased, expanded or remodeled real estate? If so, you may be eligible for ten, or even hundreds of thousands of dollars in tax savings through a cost segregation study.
Now that you’re convinced you can achieve firm growth by helping your clients find valuable tax credits, how do you bring your colleagues on board with you? That’s easy—demonstrate profitability! R&D tax credits are extremely profitable, more so than many traditional services.
In a very recent development, the Internal Revenue Service (IRS) has clarified what kind of R & D tax credit claims the Chief Counsel Memorandum 2021410F relates.
From USGBC: Democrats are starting to show their cards for addressing climate change with the tax and spending legislation—referred to as the “budget reconciliation” bill— that’s moving through the U.S. Congress. In a series of committee texts released in recent days, the House of Representatives proposed a host of investments and incentives for upgrading homes and buildings alongside dozens of proposals promoting electric vehicles, energy storage, renewable power and a more dynamic electric grid.
The Internal Revenue Service (IRS) has issued new filing requirements for any taxpayer filing an IRC Section 41 R & D tax credit claim. While the R & D tax credit and IRC Section 41 has been available for decades this is the first time in quite a while where the Service is asking for specific and detailed information like this, on the actual tax filing. The Service’s overall goal is to reduce the large number of audits on the R & D claims and instead, determine upfront if such a claim should be accepted or whether further review is required before approval.
Companies engaged in research and development (R&D) activities in the state of Texas can receive reductions in either applicable sales tax or franchise tax with certain qualifications. The Texas R&D credit represents an outstanding opportunity for taxpayers to receive credit for qualified research expenses they are conducting. This incentive is in addition to the federal R&D tax program, which Congress made permanent in 2015.
