Exploring Research and Development Tax Credits: Manufacturing
Consumer, government, and environmental demands are making research and development (R&D) a stronger imperative for manufacturers each year. You can address the cost and risk of research and development (R&D) by leveraging available federal, state, and local tax incentives.
Initiatives that may be eligible for R&D tax incentives include:
- Production technology that increases quality, reliability and
performance or reduces waste, scrap, spoilage or defects.
- Production processes that are environmentally friendly.
- Computers or digital technology that supports previously manual
tasks, including product testing.
Whichever credit you explore, you must be prepared to defend reported R&D tax credits. The Deloitte Tax R&D team is a national practice of highly experienced tax professionals specializing in R&D tax incentives and includes former senior officials with the Internal Revenue Service and Treasury who participated in drafting the legislation and regulations. These specialists can help you identify qualified R&D activities and assemble documentation to defend your claim, based on their extensive knowledge of the law and your industry.
The Deloitte Tax R&D approach includes a customizable tool that helps to automate the computation and information gathering, and a Quality Assurance team that reviews deliverables and computations.
For more information, see the attachment below.