R&D Tax Credit

How R&D Tax Credits Provide Tangible Value

Posted: August 19, 2019 - Blog, R&D Tax Credit, Tax Planning & Tips

The R&D tax credit can help companies generate much needed cash flow by offsetting taxes owed or paid. In many cases, the cash generated is used by companies to grow and remain competitive by funding additional research activities perhaps leading to expanded manufacturing lines or equipment. An interesting way to assess the value of an Read More

R&D Tax Credit: When is Owner Compensation Deductible as Research?

Posted: August 19, 2019 - R&D Tax Credit

A recent court case provides guidance on owner compensation and when it qualifies as a research expense under §174.  This qualification under §174 then dovetails with the §41 research and development (R&D) tax credit calculation and can have a huge impact.  Many companies are led by entrepreneurs who spend significant time developing or improving the Read More

Recent Changes Clarify and Improve the Research and Development Tax Credit

Several legislative and legal events affecting the research and development tax credit occurred during 2014 and early 2015. These changes are particularly noteworthy for manufacturers that have R&D expenses or that already claim the R&D tax credit. New guidance associated with supply costs expanded the definition to include prototypes, tools, molds and equipment even when Read More