Tax Credit Services
Management Consultants Who Specialize in Tax

If your business is like most today, you need to squeeze the most value out of every dollar spent. Staying competitive means spending substantial time and money to improve products, processes, or services.

Is My Business Eligible?
If your company has designed products or improved its production process, the answer is "Yes." The tax definition of research & development (R&D) includes much more than scientists in white coats. Many companies are surprised to find that more than a few of their activities qualify for the R&D credit.

Qualifying research activities can include -

• Developing prototypes and patents
• Improving or developing products
• Operating your internal engineering department
• Automating or improving production processes
• Employing contract technical personnel

We have found that businesses in the following industries have research tax credit possibilities -

Manufacturing	Software Development
Utilities	Technology
Biotechnology	Agriculture
Environmental	Plastics

The Benefits
Most companies can benefit in one or more of the following ways -

• Claiming immediate tax refunds with interest from your previous tax returns
• Reducing your current-year estimated tax payments
• Decreasing your current-year effective tax rate and income taxes

Generally, any research credits that cannot be used in the current year may be carried back one year for a refund and then carried forward for use over the next 20 years.

Your potential research tax credit could be up to 6.5 percent of your current-year qualified research expenses - not including state research credits, which may be significant. The research credit will also generate "bottom line revenue." If your company operates on a profit margin of 5 percent on net income, a research tax credit of $100,000 is the equivalent of increasing your gross revenues by $2,000,000.

We conduct the study in three phases -

Phase I - Feasibility
For each period that research credits are available, we estimate your potential qualifying R&D expenditures by identifying research projects, wage costs and other research-related expenses. Using the information gathered, we determine the potential tax savings and future benefits to you of a Research and Development Tax Credit Study.

This phase allows us to gain a detailed understanding of your company so that we can tailor the study to your specific circumstances. After we analyze the feasibility of an R&D study, you then decide if we should proceed further.

Phase II - The Study
During the study phase, we will be -

• Identifying and documenting your research activities in detail
• Gathering your qualified research expenditures such as wages and supplies
• Calculating your federal and state research credits

Phase III - Final Report
Our findings are presented in a comprehensive report with all the necessary documentation to support your research credits. We will complete the appropriate federal and state research credit tax forms and can amend your tax returns for you if you wish.