U. S. companies can still take advantage of research & development tax credits to lower their income taxes each year

 

R&D Credits have been a part of the US tax system since 1981. Implemented as a temporary credit to help stimulate the economy, it continues to be renewed time it expires to give US companies an opportunity to better compete in an ever-expanding global marketplace.

 

 

Developing or improving products, processes, software, formulas or techniques can qualify for an R&D Credit and generate substantial tax savings for US taxpayers.

 

 

 

 

 

How does it work?

 

Time and energy spent developing new products, formulas, software or new innovative techniques or processes can generate federal and state tax credits. Development team wages including engineers, supervisors, prototype team, marketing, and support personnel may be included in the R&D Tax Credit calculation. Additionally, prototype supplies and outside research costs are included.

 

Have you developed a new piece of capital equipment for your manufacturing process?

 

Developed a new capping technique for your food products?

 

Perhaps you have simply developed new products or improved on older products using new lighter or stronger materials.

 

Have you designed new products for a larger company to implement in their larger products?

 

All of these activities have the ability to qualify for R&D tax credits.

 

It is not a requirement for a company to patent their new products in order to secure an R&D tax credit.

 

At Acena Consulting, our focus is helping companies and their CPAs to better understand R&D Credits and assisting in the development and implementation of proper documentation systems to sustain their R&D Credit if needed.

 

Contact us today for a free estimate of the tax savings available to you through the R&D Credit at info@acenaconsulting.com.

R&D Credits

Making US companies more competitive globally