Research & Development Tax Credit Study Process
We utilize a three-phase process to ensure that qualifying activities and expenditures are captured and meet the requirements as set forth by the Internal Revenue Code.
Phase 1 – During this phase, we gather preliminary financial and project information to develop a high-level credit estimate for the selected tax years. During this phase, we will conduct high-level interviews with key personnel to develop our estimate. If no potential credits are identified, credits are minimal, or it would not make sense to proceed with the credits from a taxpaying position, we terminate our contract at NO fee.
Phase 2 – During this phase, we work closely with the client to gather detailed employee information and project documentation. Additionally, we conduct further interviews to establish qualifying employee activities and identify qualifying projects to calculate a final tax credit for the company.
Phase 3 – During this phase, we draft and deliver a final bound deliverable that documents the companies research and development activities as it related to all qualifying expenditures, as well as qualifying projects. The report includes applicable statutory and regulatory information to ensure that all facets of the claimed R&D Credit are factual and may stand up to IRS scrutiny.
179D – Energy Efficient Commercial Building Tax Deduction Study Process
We utilize a three-phase process to ensure that each building or building renovation meets the requirements for claiming the 179D tax deduction for energy efficiency.
Phase 1 – During this phase, we work with the building owner or designer to determine the potential advantage of claiming the deduction by reviewing construction drawings and performing an initial walk-through of potentially qualifying buildings to determine energy savings that may qualify for the deduction. If no potential deductions are identified, we terminate the contract at NO fee.
Phase 2 – During this phase, we work with our energy modelers on staff to analyze building systems and determine the amount of the deduction available to be claimed.
Phase 3 – During this phase, we provide our findings to a licensed professional engineer who inspects the building and certifies the energy efficiencies as determined by the analysis of our energy modeling. Once finalized, we prepare and deliver a final bound report that summarizes the energy efficiencies achieved by the identified building(s).