Rabby
Legendary Contributor
FASTLANE INSIDER
EPIC CONTRIBUTOR
Read Fastlane!
Read Unscripted!
Summit Attendee
Speedway Pass
I just want to bring up this topic. Right now I am developing new products, as some of you know. It turns out, I'm eligible for significant tax credits for research and development (basically 10,000's of free money that the G man can't swipe from me because the tax code says so... as long as I file the correct incantations). You can go back a few years to file amendments and take these credits. You can also carry them for 20 years forward if it takes you that long to become taxable with your new project (but let's hope not). Newer companies can also apply these credits to federal employment taxes (SS and medicare).
I mention this because a lot of people think you have to be doing pharmaceutical research or astronomy or physics or something to become eligible for these credits, but actually you don't. You just have to be researching and/or developing something within certain guidelines... which you should discuss with a CPA not me. You can also peruse the relevant IRS forms, which include Form 6765.
In the past, I have also gotten credits for Domestic Production, which happened because I made my products and paid my developers in the US, as opposed to overseas.I think that one is currently gone, but it's worth looking out for things like this... there are a lot of incentives in the tax code (in the US anyway) to research, make stuff, produce stuff here, etc., and a lot of smaller companies don't know they can take them. In my experience, you often have to peruse tax codes or attend webinars / conferences every so often to find out about them (and they change all the time), and then you can put your CPA on them and they can take care of the details.
Enjoy keeping your money.
I mention this because a lot of people think you have to be doing pharmaceutical research or astronomy or physics or something to become eligible for these credits, but actually you don't. You just have to be researching and/or developing something within certain guidelines... which you should discuss with a CPA not me. You can also peruse the relevant IRS forms, which include Form 6765.
In the past, I have also gotten credits for Domestic Production, which happened because I made my products and paid my developers in the US, as opposed to overseas.I think that one is currently gone, but it's worth looking out for things like this... there are a lot of incentives in the tax code (in the US anyway) to research, make stuff, produce stuff here, etc., and a lot of smaller companies don't know they can take them. In my experience, you often have to peruse tax codes or attend webinars / conferences every so often to find out about them (and they change all the time), and then you can put your CPA on them and they can take care of the details.
Enjoy keeping your money.
Dislike ads? Remove them and support the forum:
Subscribe to Fastlane Insiders.