How it works?
To qualify, activities must improve something, use technology, face uncertainty, and involve testing.
What is the Four-Part Test?
KBKG has specialists with deep experience in these industries: manufacturing, software, engineering, and life sciences.
What are industry experts?
This incentive reduces federal taxes, is also available in many states, and can help startups offset payroll taxes.
What is the R&D Tax Credit?
These companies design and build physical goods and are common users of the R&D credit.
Who are manufacturers?
You should do an R&D study this often if you have qualifying activities.
What is every year?
Wages, supplies, cloud hosting, and contractor costs are all examples of these.
What are Qualified Research Expenses (QREs)?
KBKG’s studies are backed by these two types of professionals who defend claims in audits.
Who are CPAs and engineers?
Startups can use the R&D Credit to offset these taxes when they don’t have income tax liability yet.
What are payroll taxes?
These professionals design buildings and qualify because they test and improve designs.
Who are architects?
Companies can amend prior returns to claim credits for this many years back.
What are 3 years?
This credit can help businesses by either giving them cash back or reducing this in the future.
R&D Tax Credit
Top 2 reasons a client should choose KBKG
1. KBKG provides audit support
2. KBKG has a consultative approach - technicals are involved on the front end to determine qualification
Businesses that claim this credit can save anywhere from thousands to millions of dollars.
What are R&D tax savings?
Companies without U.S. payroll or without qualifying activities fall into this group.
Who are ineligible businesses?
Companies can also claim the R&D credit for this tax period if they performed qualifying activities.
What is the current tax year?
What determines the size of the credit
Expenses associated with qualified activities such as wages and supplies
Includes qualifying potential credits, analyzing data, maximizing benefits, protecting clients with defensible documentation
KBKG's proven process
Companies often use these credits to either get cash back or lower this in the future.
What are future tax liabilities?
These professionals write code and qualify for the credit when developing or improving products.
Who are software developers?
If a company missed claiming R&D credits, they can do this to capture past credits.
What is amend tax returns?
This type of company can use the R&D credit to reduce payroll taxes even before they’re profitable.
What are startups?
KBKG provides x amount of audit support hours for Full-Scope R&D Study
Unlimited (until they go to court)
The combined federal and state value of the R&D Credit is typically this many cents per dollar of qualifying spend.
What is 10-15 cents?
Entities without this type of U.S. obligation cannot claim the R&D credit.
What is a U.S. tax liability?
Startups can apply credits against this government obligation when they have no income taxes due.
What is the employer portion of payroll taxes?