R&D Tax Credit
The R&D Tax Credit is a federal program listed under Section 41 of the IRC and is designed for companies performing manufacturing in the U.S. This is an engineering based program that focuses on a company's operations and processes in order to determine their qualification for incentives. The R&D Tax Credit provides an avenue to receive "tax money" back from prior years while also reducing current taxable income on a dollar-for-dollar basis.
An average R&D Tax Credit Study offers approximately $20,000 to $40,000 per year for every $1,000,000 in total company payroll. Companies may be eligible for three prior tax years, plus the current year!
"...Although it has a well-deserved reputation for complexity and uncertainty for taxpayers, the research tax credit of IRC 41 nonetheless remains a valuable source of support to businesses." ~Journal Of Accountancy
GMG utilizes a team of highly qualified professionals including IP attorneys with engineering backgrounds, and GMG adheres to the comprehensive project-by-project approach methodology required by the IRS. By following this methodology, we qualify every applicable employee, activity, hour spent and corresponding wage paid to maximize the incentive for our client.