Why Manufacturers are Looking Forward to Growth
As more Americans get vaccinations and an economic recovery is within sight, manufacturers can bring lessons learned during the pandemic to accelerate growth.
The federal research and development (R&D) tax credit offers businesses in a variety of industries a way to offset a portion of costs associated with development efforts. If your business is not currently taking advantage of R&D tax credit incentives, you may be missing the opportunity to reduce your tax burden and reinvest funds instead in critical business initiatives.
R&D tax credits can result in cash savings of up to 13.5 percent of qualified spending.
Qualified Research Activities
In general, if your company has invested money, time, and resources in activities that help create a new or improve an existing process, product, technique, or formula you may have eligible costs.
R&D tax credit eligibility largely depends on whether the work you are conducting meets the criteria established by the IRS in its four-part test.
Examples of common qualified research activities include:
Lumsden McCormick R&D Tax Credit Experts
Lumsden McCormick R&D tax credit professionals along with the resources available to us through our affiliation with the BDO Alliance USA, allow us to work collaboratively with you to ensure that you are receiving the maximum benefit. We will work with you to ensure compliance with R&D tax credit documentation requirements.