Strategies for Establishing the Defensibility of Your R&D Tax Credit

R&D Tax Credit


Deborah Roth, CPA
June 17, 2023

Harness the power of the R&D tax credit to bolster your business's cash flow, seizing the opportunity to offset expenses. Yet, completion of IRS Form 6765, the Credit for Increasing Research Activities, does not guarantee immediate approval of your claim. Dive deeper into the realm of defensibility, arming yourself with crucial insights to safeguard your R&D tax credit against potential IRS or state audits. Discover the vital steps you can take to fortify your position, ensuring an unwavering defense in the face of scrutiny. Unleash your business's potential as you navigate the realm of R&D tax credits, confidently steering towards financial prosperity.

  • The Power of Detailed and Accurate Recordkeeping

Maximize your ability to substantiate an R&D claim by meticulously maintaining precise records of all research and development activities. Comprehensive documentation should encompass key elements such as gross receipts, invoices (including subcontractors), payroll records, employee information, and detailed project descriptions. By diligently preserving these records, you enhance your chances of effectively supporting your R&D claim and maximizing its potential benefits.

  • Navigating the Ever-Evolving R&D Tax Credit Landscape

As the R&D tax credit program dances to the rhythm of periodic transformations, staying well-informed becomes paramount. In this dynamic realm, changes in deadlines, qualifications, and document requirements abound, demanding unwavering vigilance. Casting a spotlight on the dawn of 2022, significant shifts have emerged concerning §174 R&E. Brace yourself, for taxpayers with R&E expenditures or software development costs now face the task of amortizing expenses over a span of 5 years. No longer can these costs be deducted within the year in which they are incurred. Yet, amidst the transformative tides, a glimmer of opportunity emerges. The R&D tax credit emerges as a potential savior, capable of offsetting the tax implications resulting from Section 174 amortization. Embrace the uniqueness of this ever-evolving journey, and let the winds of change propel you toward prosperity.

  • Unleash the Power of Expert Guidance: Navigating the Intricacies of R&D Tax Credit Claims

Embarking on the quest to claim the R&D tax credit can be a labyrinthine endeavor. Fear of not having specialized tax professionals versed in the realm of R&D tax credits stands ready to guide you toward success. Embrace the profound expertise of these professionals as they illuminate the path to accuracy, meticulously identifying your qualifying development activities and expenses. With their adept calculation prowess, they unveil the hidden gems of R&D tax credits, ensuring you reap the full benefits. Prepare to be awe-inspired as they deftly prepare the supporting documents essential to fortify your claim, leaving no stone unturned. But their unwavering support extends beyond mere preparation, as they stand as stalwart companions during audits, providing resolute assistance when needed. Embrace the uniqueness of this transformative journey, and let the experts pave the way toward R&D tax credit triumph.

Unlock the power of R&D tax credits to bolster your business and offset expenses. Ensure defensibility with key insights on qualified research activities, minimum qualifications, accurate recordkeeping, staying informed, and seeking expert guidance. Embrace this transformative journey and achieve financial prosperity. Start today.

The Services We Offer, the pioneer in R&D tax credit consulting for over 40 years, presents a unique approach. Our commitment is rooted in providing access to the R&D tax credit without burdensome fees, making it accessible to companies of all sizes. With more than 350 years of combined experience, our team sets us apart.

Now is the time to assess your past, present, and future R&D activities to maximize the R&D tax credit benefits, regardless of your industry. Don't miss out on potential tax savings. is here to assist you in claiming essential tax savings, empowering you to reinvest in your business and propel your next groundbreaking project.

continue reading

Common Challenges When Claiming R&D Tax Credits

Although claiming this credit can offer considerable benefits for companies engaged in R&D efforts, the process can be challenging.

read on

No Profits, No Problem: R&D Tax Credits Can Help Your Startup

Running a startup is all about innovation and making the most of your resources. But what if you're not yet turning a profit?

read on

What Happens to Unused R&D Tax Credits?

What happens if you don’t use all your credits in a single year? Don’t worry! The US tax code has you covered.

read on