Tax Credits Blog

AMT Alternative Minimum Tax could impair R&D tax credit in Senate Bill

Although the R&D tax credit has been retained in the 2017 tax bills (both versions), in Conference Committee, the Congress will have to work out what to do with AMT. The House bill repealed the corporate AMT (Alternative Minimum Tax …

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Use the R&D Credit to Offset your Payroll Tax – New Webinar available online !

Clients who already filed their 2016 tax returns can now take advantage of a ONE TIME opportunity from IRS – file an amended 2016 tax return before 12/31/17 and you can still claim the R&D credit towards your payroll tax …

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R&D Credit – New IRS Safe Harbor for R&D Costs

On September 11, 2017, the commissioner of the Large Business & International (LB&I) Division of the IRS issued new guidance for taxpayers using ASC 730 to expense research and development costs on their financial statements. This directive (LB&I-04-0917-005) provides a …

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R&D Tax Credit – Payroll Tax Offset – IRS Notice 2017-23

In December 2015, Congress passed the PATH Act of 2015, which enabled small, start-up businesses to use the R&D Tax Credit to offset the employer portion of payroll taxes, up to $250,000. To qualify as a small, start-up, the Taxpayer …

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R&D Tax Credit Payroll Tax Offset – Starting in 2017!

The new Path Act which was passed in Congress December 2015 kicks in effective for tax year 2016.  One significant new provision is that start up companies can use up to $250,000 in R&D credits against their 2017 quarterly payoll …

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Final Regs Internal Use Software – R&D – What is the Dual Purpose Rule?

Final R&D tax credit regulations published by the Treasury on October 4, 2016 regarding internal use software introduce a new term, dual function software, as well as a safe harbor provision. Dual function software is “software developed for both internal …

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IRS Issues Final Regulations on Internal Use Software – R&D Tax Credits

The IRS has issued final regulations largely adopting provisions in the January 2015 proposed regs on internal use software. These final R&D regulations on internal use software are effective prospectively for tax years ending after October 4, 2016. The new …

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Nebraska R&D Credit Overview – Warner Robinson

Nebraska Advantage Research and Development Credit The Nebraska Research and Development Credit provides a refundable tax credit for qualified R&D.  One of the few states that still offers a refundable R&D credit. The state tax credit is worth 15% of …

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Wisconsin R&D Tax Credit Overview

In 2015, the Wisconsin R&D tax credit percentages were increased, and taxpayers are eligible for a credit of 5.75% of the amount of qualified research expenses (QREs) for the year that exceed 50% of the average QREs for the prior …

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R&D Credits to Offset Payroll Taxes in 2017 if you qualify

Under the December 2015 Path Act, Congress will provide additional R&D tax credit incentives for small business, as defined as a company with less than $5 million in receipts and no history of receipts longer than 5 years – stated …

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