Research Tax Incentives

The Research and Experimentation Tax Credit program was added to the Internal Revenue Code in 1981 to incentivize qualified research and development expenditures and for payments to qualified organizations for basic research. Due to the overwhelming success of the program at the Federal-level, most states now offer a research tax incentive (e.g., either in the form of a credit or a deduction) as well. These combined Federal and Multi-State research tax incentives exponentially help companies tax effect their actual costs to design and develop their next generation “best in class” products as well as their manufacturing process improvements.

Research Tax Incentives can apply to virtually any industry including, but certainly not limited to:

  • Life Sciences (e.g., Pharmaceuticals; Bio-Technology; Medical Devices; etc.)
  • Food Science;
  • Energy;
  • Chemicals;
  • Metals & Mining;
  • Aerospace & Defense;
  • Software & Electronics;
  • Semiconductors;
  • Financial Services (e.g., for both 3rd party sale, lease or license software and internal use software);
  • Transportation (e.g., Airlines; Automotive; etc.);
  • Utilities.

The Prager Metis CPAs, LLC Research Tax Incentives Practice has true subject matter experts that have exceptional proficiency in the design and implementation of sustainable methodologies for research tax incentives at the Federal and Multi-State levels that are in full compliance with Circular 230 and all applicable statutory, administrative and judicial interpretations. Contact us today for a complimentary consultation.