If qualified start-up companies with research and development activities want to take advantage of the option to offset payroll taxes in the second quarter, the deadline is quickly approaching. Qualified start-up companies have until March 31, 2019, to file their 2018 tax return if they want to offset their payroll taxes in July 2019. Under
Category Archives: R&D
Take Advantage of R&D Tax Credits, NOL Sales, Other Growth-oriented Programs When planning to launch a tech start-up on the east coast, many entrepreneurs automatically think Boston’s 128 corridor or New York City’s Silicon Alley. We propose that from a business and taxation perspective, there’s another strategic place to consider for starting and growing a
Partnering to Provide R&D Tax Credit, Cost Segregation and Other Capabilities as a Growth Strategy. We’re pleased to introduce a new ebook we’ve created specifically for the CPA community. It’s titled, A Guide for CPAs: How – and Why — to Introduce Clients to Specialty Accounting and Tax Services. You can download it for free.
Drilling Into the IRS’ Four-Part Test. If your company is in an industry that qualifies for R&D tax credits, it makes sense to explore whether any of your operations and related expenses meet the R&D tax credit requirements. Many business owners only think science labs, beakers and test tubes when it comes to R&D. Actually,
Part of a Series on State and Local R&D Tax Credits. Many states offer tax credits from research and development spend that complement the Federal R&D Tax Credit program. However, each of these programs has unique aspects. This article is part of a tax technical series that will explore the more popular programs and outline
Learn What Activities May Qualify for Significant Tax Savings. Calculating the Research and Experimentation Tax Credit (RTC) under IRC §41 allows taxpayers engaged in qualified Research and Development (R&D) activities to claim a credit against their income taxes. Eligible costs include employee wages, costs of supplies that are used and consumed or destroyed in R&D
R&D tax credits are among the most potentially lucrative tax incentives available today for companies developing new products and enhancing manufacturing processes. For qualifying start-ups and more established privately held companies, they can free up precious capital for scaling growth. For larger enterprises, R&D tax incentives can contribute mightily to multi-year tax planning and savings.
What is the R&D Tax Credit Software companies have traditionally qualified for the R&D Tax Credit against income tax. However, many software companies are not taxable and up until recently could not benefit from this credit. The Protecting Americans from Tax Hikes (PATH) Act of 2015 allowed qualified start-up companies (i.e., those with less than
As part of the 2015 PATH Act, the R&D Tax Credit Program was significantly enhanced to allow qualified start-up companies to claim up to $250,000 of tax credits against their payroll tax expense. Over the past 18 months there have been many questions regarding the scope and application of the program including how and when
On September 15, 2017, Pennsylvania’s Research and Development Tax Credit application is due for companies qualifying for the Federal and State Research and Development Tax Credit. Pennsylvania requires that taxpayers have qualified Pennsylvania Research and Development expenses in the current year and at least one preceding year, 2015. The goal of the R&D Tax Credit