New Guidance For the R&D Tax Credit You Need to Know About

Beginning in the 2016 tax year, start-ups or new businesses could potentially claim the Research and Development (“R&D”) tax credit against federal payroll withholding. This is extremely beneficial as new businesses often do not owe any income taxes and thus, were unable to utilize their federal R&D tax credits.

R&D Tax Credits: Common Myths

The Federal Research and Development (“R&D”) Tax Credit allows companies engaged in qualified R&D activity to claim a tax credit for their efforts. This is a lucrative credit as it is a dollar-for-dollar offset of a company’s tax liability.

How can Startups Benefit from a R&D Study?

For many startup companies, money is tight and income (if any) is low. Since these companies are
not having to pay any federal or state income tax, they are generally not interested in spending money
to perform research and development (“R&D”) tax credit studies because they do not believe they can
actually use their R&D tax credits.

Georgia Department of Revenue Increasing Random Audits of Entertainment Tax Credits

Georgia is unique amongst the states with large entertainment incentive programs in that there is no audit required to claim and sell Georgia entertainment tax credits. Nonetheless, many production companies choose to have their qualified production expenditures voluntarily audited by a third party CPA firm or by the Georgia Department of Revenue (the “Department”) as a prerequisite to selling their entertainment tax credits.

Employer-Provided Child Care Tax Credit

Employee retention has long been a challenge for businesses of all shapes and sizes. One of the biggest hurdles in keeping employees occurs when an employee has a child.

New IUS Regulations for R&D Tax Credit

The Federal Research and Development (“R&D”) Tax Credit has been significantly enhanced during the past year, offering taxpayers additional benefits and improved clarity for one of the most attractive tax incentives offered in the federal tax system.

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