Tax Credits & Incentives Services

Identifying Opportunities for Financial Savings

Research & Development Tax Credit Services

The Research & Development (R&D) Tax Credit helps businesses invest in new or improved products and processes. The tax credit for research and development can offset federal income tax liability and, in some cases, payroll tax liability. Many states provide a similar credit, making it one of the most valuable tax credits available.

Cost Segregation

Cost segregation studies are a valuable tax strategy for real estate investors and commercial property owners. Various components of real estate like flooring, fencing, and sidewalks may be segregated and reclassified for depreciation purposes from a 39-year or 27.5-year depreciable class life to a five, seven, or 15-year depreciable class life — or as qualified improvement property (QIP).

This can result in substantial tax savings, especially if those owners apply accelerated depreciation methods like Section 179 or bonus depreciation. Our team can determine the right depreciable lives for your assets and choose the depreciation methods to optimize your tax position, resulting in substantial tax savings.

Section 179D Deduction for Energy-Efficient Properties

Commercial and residential properties that exceed energy efficiency standards may qualify for substantial tax savings under Section 179D. The tax savings can offset the cost associated with installing energy efficient components.  BT can help by:

• Ensuring that you qualify for the Section 179D deduction
• Amending or filing returns to claim the deduction
• Substantiating your claims if your eligibility comes into question
• Building a multi-year tax plan for energy incentives

Energy efficiency incentives like Section 179D may benefit commercial and multifamily building owners, architects, engineers, investors, developers, and building contractors.

Employer-Provided Childcare Tax Credits

Employers that provide or sponsor childcare for their employees may be able to claim a federal and/or state credit for:

• The cost of acquiring and operating an on-site childcare facility, or
• Amounts paid to contract with a licensed childcare program.

The federal and state credits, coupled with the tax savings from deducting a portion of the childcare expenditures, can yield an after-tax cash surplus — that is, the tax savings can more than offset the cost of providing the childcare benefits.