In the farming and agricultural industries, many business fail to explore the full extent of entitled R&D tax credits, often unaware that the government offers tremendous research and development programs to the agricultural industry. Even those that carry the initial reservations that such programs are not applicable to their business may qualify for valuable R&D incentive programs. Let TaxIncennovations help you get onto the path to valuable R&D tax credits for your company today!
Below are some examples of qualifying activities associated with the farming and agriculture industry but are not limited to the following:
Experimentation or development with new feeds
Development of manufacturing process improvements
Precision farming techniques to increase crop yield
Ingredient formulations/ flavor development for food products
Evaluating feeding techniques to increase or improve livestock production
Prior to 2016, small to mid-size companies who qualified for the R&D tax credit were sometimes limited to utilize the credit by Alternative Minimum Tax (AMT). With the new regulations put in place in 2016, small to mid-size businesses can offset their AMT with the R&D tax credit.
An Agriculture Firm with gross receipts of $80 million specializing in soil development and new harvesting processes can generate $120,000 in R&D Tax Credits per year.
Let TaxIncennovations evaluate how we can assist you in claiming R&D tax credits.