Texas R&D Tax Credit Solutions Provides Extensive Specialist Research and Development Tax Credit Services

The research and development tax credit in Texas is flexible, providing taxpayers the opportunity to closely evaluate their research activity costs to decide on the best tax strategy to use. The tax credit is available to both private and public sectors and is effective for tax liabilities that have been incurred since January 1st 2014. Businesses are now able to make a choice of how to reduce their tax liabilities using the R&D tax credits from:

  • Sales and use tax exemption on property that is used directly for qualified research
  • Revised Texas Franchise Tax based on qualified research expenses

Taxpayers are not able to claim for both of these tax exemptions within the same year, so it’s important to pick the best one from year to year to benefit your business and plans in research and development.

Qualified Research

Before you begin working through the planning and preparation stage of research and development tax credits you need to work out if your activities qualify. The qualified research covers expenses relating to R&D activities that are technological in nature. All of the activities must be part of the experimentation or research process that are related to new products or processes, improved functions, performance, quality or reliability. This doesn’t include research such as surveys and research relating to the social sciences, arts or humanities.

Funding Your Research and Development

If your company is already investing in, or is interested in investing in research and development it’s important to understand the tax credit. The incentive is in place to assist you with improving products and procedures by removing the need for capital, reducing your tax liabilities so the money saved can be put back into your technological research and development.

By taking part in the innovation within your sector you are contributing to the economy and helping your business to grow and develop. If you’re interesting in learning more about your eligibility for the tax credit we recommend contacting our specialist team here at Texas R&D Tax Credit Solutions. We are ready to help you prepare your accounts and documentation, to produce a trail that follows your qualified expenses relating to your research and increasing the chances of being accepted for the beneficial tax credit.

Texas R&D Tax Credit Solutions Provides Extensive Specialist Research and Development Tax Credit Services

With our help you’re able to have the correct documentation in place, ready to support you in the future should you be audited by the IRS. You can apply for what you’re entitled to with complete confidence that your accounts and documents are accurate. We will work with you throughout the various processes, whether you are claiming for the first time or if you’re preparing for an audit. Give our team a call today to learn more about the qualifying research and the different services we provide.