R&D Tax Credits—New Opportunities for Taxpayers

By Leia Marino on June 21, 2016
Back to main Blog
Leia Marino

Manufacturers will also benefit from expanded R&D tax credit benefits.

New call-to-actionFederal tax rules have expanded in a manner that allows more activities to qualify for the research and development (R&D) tax credit and the taxes the credit can be used to offset.

More benefit from the credit means more cash available to manufacturers.

Key highlights from the R&D Credit expansion:

  • The Credit Is Now Permanent.
  • Eligible Small Businesses Can Use the Credit to Offset Alternative Minimum Tax.
  • Qualified Start-up Businesses Can Use the Credit to Offset FICA Tax.
  • IRS Noted Increasing Importance of Internal Use Software.
  • Website Design Costs for Third Party Interface.

R&D Credit for Manufacturers - Buffalo CPA For details—including examples of R&D activities, and specific New York State opportunities—download the full article from May's edition of The Bottom Line, co-authored by Freed Maxick CPAs and Tax Practice Directors, Samuel C. DiSalvo, CPA and Don L. Warrant, CPA.

Manufacturers conducting research activities should review their eligibility for federal and state level R&D credits. It is not uncommon for manufacturers to miss opportunities. For help minimizing or lowering your tax burden, contact us.

For more insight, observations and guidance on the R&D Tax Credit, visit our Freed Maxick Guide to the Federal Research and Development Tax Credit webpage.

Stay up to date