R&D Tax Credit

Get Rewarded For Your Innovation

The Research and Development (R&D) tax credit encourages U.S. businesses to conduct research that is new to the company.

What Is the R&D Tax Credit?

The R&D tax credit is a special tax incentive that rewards businesses for developing or improving products or processes, regardless of industry. This tax credit equates to a dollar-for-dollar reduction in federal tax liability, and it’s accepted in 38 states. Based on your R&D expenses, the credit offers an immediate source of cash to jump-start new research or provide cash liquidity for your business. With the ability to retroactively claim the R&D tax credit for up to 3 years (4 in some states), many companies are eligible to receive significant cash recoveries.

Do You Qualify for the R&D Tax Credit?

The IRS utilizes a 4-part test to identify eligible research. To qualify, your Research and Development activities must:

  1. Develop or Improve products, business processes, or techniques
  2. Undertake a process of experimentation or trial and error
  3. Attempt to solve a technical uncertainty
  4. Fundamentally rely on hard science principles

Think Your Research Doesn’t Qualify? Think Again!

THE R&D DISCOVERY RULE:
To qualify, your company does NOT need to make groundbreaking discoveries that advance your entire industry. Instead, research must only be new to your company.

Why Apply for the R&D Tax Credit?

  • Keep more of your profits
  • Reduce federal and state tax liability for past, current and future years
  • There is no limit to how many years into the future that the credit may be claimed

How it Works

Our experts work closely with your team to maximize your credit potential every year.

Our team conducts a full analysis of your business and operations to identify research projects and determine what can be claimed toward the R&D credit.

Working alongside your CPA and accounting staff, we gather and review expense-related data to quantify your business’s eligible benefit.

We take a deep dive into the qualifications for each R&D effort, conducting interviews and gathering documentation to verify each expense.

Once the credit is calculated and substantiated, we work with your team to facilitate a seamless tax filing process, including the preparation of an executive report and audit-related support should your claim ever be reviewed.

We partner with clients to identify existing R&D tax credits and to recommend and implement procedural changes within your organization to help you maximize your benefit year after year.