We help your company gain a tax advantage through the Research and Development tax credit.
R&D Advantage specializes in helping companies claim the Research and Development ("R&D") tax credit. Our experience includes working with businesses of all sizes, from one employee shops to multi-million dollar enterprises, and within a variety of industries. If your business has on-going activities that meet what is known as the "4-Part Test" then it most likely will qualify for the R&D tax credit, no matter the industry. Continue reading below about the 4-part Test and see the type of benefit this particular tax credit can provide to your business.
SO, WHAT'S THIS 4-PART TEST?
It doesn't matter what industry your business is in. As long as employees of your business (including sole-proprietorship owners) are performing activities which meet the 4-part Test below, your business is very likely to qualify for the R&D tax credit.
1. TECHNOLOGICAL IN NATURE
This first part of this test is straight forward. In order for activities to be technological in nature they must rely upon "hard sciences" such as engineering, chemistry, computer science, mathematics, physics, and biology.
2. PERMITTED PURPOSE
Next, activities must have the purpose of developing a new or improving upon an existing business component such as a product, software, process, technique, formula, or invention. Improvements are generally related to quality, performance, functionality, reliability, and lowering costs.
3. TECHNICAL UNCERTAINTY
To meet this part of the test, activities should demonstrate your company has made attempts to eliminate technical uncertainty, which existed at the outset of a project, related to the capability, methodology, or design of the business component.
4. PROCESS OF EXPERIMENTATION
Put simply, this part means to say there was some process in place whereby different alternatives were considered while trying to overcome the technical uncertainties. Experimentation should have taken place through activities such as building models, simulations, or prototypes, trial and error, test runs, and hypothesis defining, refining, and testing.
Navigating the 4-part Test and analyzing your company's activities is second nature to us, but we assume it's all pretty new to you. Please don't hesitate to ask any questions and find out if your company qualifies for the R&D tax credit savings. Give us a call at 385.202.3104 and we'll be happy to go over any aspect of the tax credit with you. Click below for a PDF copy of the 4-part Test.
WHAT CAN THE CREDIT DO FOR YOU?
Enough that you should call us and ask.
The R&D tax credit is a dollar-for-dollar reduction of your tax liability, with general business tax credit limitations. Every company we know would benefit from having a reduced tax burden and simultaneous increase in cash flow.
Some examples of industries which easily benefit from the R&D tax credit are engineering, manufacturing, architecture, aerospace, software, apparel, food & beverage, life sciences, construction, and networking--and there are many others. Below are a couple of recent case studies to help you get a feel for what the credit can do for your business.
Download case studies of two recent clients.
CASE STUDY #1
We've worked with this company for several years, so take a look at what we've done in just the past two.
CASE STUDY #2
This is a newer client which had never taken the credit before, so we went back and had prior year tax returns amended to capture more credit.
HERE WE ARE
Charles enjoys explaining the R&D tax credit to anyone (really, anyone) who happens to have the fortune of asking him about it. He wants business owners to understand the credit’s potential. Having helped dozens of companies grow by enabling them to keep more money in their own bank account rather than the government’s, he wants to see the same benefit for your business as well, through appropriate usage of the R&D tax credit.
While working at PricewaterhouseCoopers LLP in Los Angeles, CA, Charles was fortunate to work with several large, high-profile Fortune 500 companies from various industries. He also worked for another CPA firm, Gatto, Pope, & Walwick LLP in San Diego, CA where he was able to engage with small and medium-sized businesses, again of various industries.
Current clientele varies in size and location, so no matter where your business is located, and from start-ups to well established firms, he’s happy to work with you. Drop him a line so he can help you understand how your business can benefit from the R&D tax credit.
Bryan is currently pursuing a PhD in wireless communications at Brigham Young University with Dr. Michael Rice. He’s the “smart guy”, and loves learning about every aspect of communications systems, including signal processing, information theory, stochastic processes, and channel modeling. Prior to graduate school, he worked on various digital signal processing projects, including GPS WAAS signal demodulation during his internship at Rincon Research and Haralick image processing algorithms for his Capstone project.
All this academic research has led to award-winning published papers which showcase both a technical understanding of underlying engineering principles and the ability to communicate concisely in print. It is with this expertise that Bryan assists clients in accurately documenting their projects which qualify for the R&D tax credit, an essential part to any R&D tax credit study.
Oh, and he speaks Slovak.
JOSHUA STEWARD, CPA
Joshua has over 10 years of Big 4 experience in audit and advisory services serving Fortune 500 companies, non-profits, and private companies across many industries including life sciences, technology, financial services, government, and consumer products.
Joshua is a Certified Public Accountant in the State of Utah and brings a strong background in technical accounting and audit support. He is originally from Upstate New York and has also lived in Idaho, Washington D.C., and Utah.
Sarah has a long history of organizational management with a background in retail and banking. She is a detail-oriented powerhouse and works expertly in coordinating with her team to create an exceptional client experience.
Having now moved back into the financial sector, she is constantly working to find businesses which qualify for the R&D tax credit.
Sarah has a Bachelor's of Science from the University of Utah in Elementary Education. When not in the office she is spending time with her husband Jason, homeschooling her four children, and going on adventures with her family.
A FINAL NOTE
Skeptical that you’ll qualify for the R&D tax credit savings? Just give us a call and we'll walk you through everything. No matter your industry or company size, contact us and we'll discuss with you what this tax credit can do for you and your company. This isn't a one-time benefit either, rather it is a permanent business credit that can be taken year after year. As such, we do our best to keep you satisfied with our consulting services--confident you'll want to engage us for each coming year.