Strengthen Your Financial Position Through Tax Credits and Incentives
Investing in your business makes it stronger, but finding the resources to pay for that growth isn’t always easy. Federal, state, and local tax credits that support research and other activities can dramatically change that financial picture.
Bennett Thrasher can help you take advantage of these generous credits and incentives to improve cash flow and strengthen your long-term position in the marketplace.
Tax credits and incentives are available to help businesses in most industries. Federal and state governments provide a wide range of tax credits and incentives, including:
Research and Development
The Research & Development (R&D) Tax Credit is an effective way for businesses to replenish spending on new or innovative products and processes, no matter what industry they operate in. It can be used to 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 studies are a valuable tax strategy for real estate investors and commercial property owners. Various components of real estate (leased or owned) may be segregated and reclassified for depreciation purposes. Certain costs previously subject to a 39-year depreciable life can instead be reclassified with a five, seven, or 15-year depreciable life, resulting in substantial tax savings.
Alternative Fuel and Alternative Energy
Many businesses are focused on making their operations more sustainable. However, the cost of adopting these alternative fuel and energy technologies can be prohibitively expensive – unless you factor in federal and state energy credits. We can help you navigate the tax credits that may be available.
Work Opportunity Tax Credits
The Work Opportunity Tax Credit is available to any private U.S. employer that hires veterans and certain individuals experiencing consistent, significant barriers to employment. Both full and part-time employees qualify. There is no limit to the number of eligible employees you can claim per year, so this can add up to a considerable tax savings.
Childcare Tax Credits
Both employers and employees can benefit from this significant tax credit and these credits coupled with additional tax benefits can actually yield an after-tax cash surplus. Navigating through the tax regulations around Childcare Tax Credits can be complex, and our professionals can help you determine if setting up an Employer-Provided Child Care plan makes sense for your business.
State-Specific Tax Credits & Incentives
Individual states offer tax credits and incentives to companies in various industries to attract new businesses, add jobs and bolster their economies.
Federal and state governments provide several tax credits and incentives to help businesses reduce their tax burden. Yet, many taxpayers wind up leaving money on the table every year when they leave those credits and incentives unclaimed.
The professionals at Bennett Thrasher will help you identify the many available tax-saving opportunities and determine your eligibility. Even if you think you won’t qualify or have previously claimed tax credits and incentives in the past, you may be pleasantly surprised after a preliminary assessment by our tax credit and incentives experts. This Phase 1 assessment is offered at no charge, allowing you to see the potential tax savings before claiming a particular credit or incentive.
By taking advantage of these generous tax credits and incentives, you can gain confidence that you are utilizing every incentive and claiming the maximum allowable benefit.
Bennett Thrasher believes in serving our clients by building trust through insight and involvement.
If you would like to learn more about the valuable tax credits and incentives for which your business may qualify, we can help. Contact Betsi Barrett to schedule a complimentary assessment.