R&D Tax Credit Studies

 The federal research credit is available for activities and costs that meet the requirements of section 41. Routine product improvements do not automatically qualify, and business spending labeled “R&D” is not sufficient by itself.

Technical review
We coordinate with contracted professionals to understand the projects, technical challenges, and work performed.

Documented calculations
We identify the business components and costs reviewed, the records relied upon, and any gaps or assumptions that affect the analysis.

Enrolled-agent tax review
An enrolled agent reviews the proposed federal tax treatment before we deliver the study for the client and return preparer to consider.

Support through delivery
We provide the study, supporting schedules, and an explanation of the methods and conclusions within the agreed engagement scope.

We evaluate activities under the four requirements of IRC §41(d)(1): a qualifying research expenditure, a technological basis, a permitted purpose, and a process of experimentation. Each requirement is evaluated for the relevant business component. A study does not guarantee that a credit will be claimed or sustained.

1. Discovery
We identify the business activities, tax years, personnel, and records to review.

2. Analysis
We evaluate each business component and its related costs against the research credit requirements.

3. Documentation
We prepare activity descriptions, calculations, and supporting schedules, noting any assumptions or gaps in the records.

4. Delivery
An enrolled agent reviews the proposed federal tax treatment before we deliver the study to the client and return preparer.

Depending on eligibility, a research credit may reduce federal income tax. Some businesses may also qualify for state research credits or a small-business payroll tax credit election. Prior-year claims may be possible if the applicable filing deadlines and documentation requirements are met.

The availability and amount of any credit depend on the taxpayer’s facts and records. We do not guarantee a credit, refund, or examination outcome.