Tax Credits - R&D
Interested in taking advantage of R&D tax credits but not sure what qualifies as research and development?
The following are some of the activities that may qualify:
- Manufacturing products
- Developing new products, processes, formulas, software, techniques, etc.
- Improving on existing products, processes, formulas, software, techniques, etc.
- Creating more reliable products, processes, formulas, software techniques, etc.
- Developing prototypes or models including computer generated
- Designing of tolls, jigs, dies, molds
- Applying for patents
- Testing new concepts
- Certifying quality
- Sourcing raw material
- Developing new technologies
- Improving existing or building new facilities
- Attempting the use of new materials, concepts, processes
- Developing custom software for internal uses
- Developing or designing new systems utilizing existing products
- Creating new formulas or products to enter new markets or industries
Common industries that qualify for research and development tax credits:
- Plastic and Injection Molding
- Aerospace and Defense
- Food Processing
- Contract Manufacturing
- Distribution (Systems)
- Financial Institutions (Systems)
- Medical Device Manufacturers
- Software Development (for sale)
- Agriculture, Dairy Farmers and Wineries