Research & Development Tax Credit
Navigate the R&D credit, effortlessly
Accelerate Tax & Business Services helps businesses unlock significant savings through the R&D Tax Credit — so your team can keep building while we handle the complexity.
Why Work With Accelerate?
CPA-Tailored Solutions
Dedicated tax specialists, engineers, and CPAs align your documentation
with IRS Form 6765 and Section 41/174 guidance.
Defensible Documentation
We produce clear narratives, cost tie-outs, and audit-ready workpapers
that translate technical work into qualified research activities.
End-to-End Support
From discovery to filing, we partner with your finance and engineering
teams to maximize value while minimizing disruption.
Overview & Key Concepts
R&D Tax Credits are federal and state incentives that reward businesses for investing in innovation. These credits reduce tax
liability dollar-for-dollar for qualified research activities—developing new products, improving processes, or enhancing software.
The PATH Act of 2015 made the credit permanent and expanded access for startups.
- Wages for qualified employees
- Supplies consumed in experimentation
- Contract research expenses
The Four-Part Test
Questions?
We can prepare a defensible credit study and advise on Section 174 capitalization, state incentives, and startup payroll elections.
What Counts
- Creating improved products, processes, formulas, software, and techniques
- Automating or improving manufacturing processes
- Integrating new equipment, APIs, or technologies
- Software, firmware, IoT, and data science development
- Prototypes, first articles, models, and simulations
- Evaluation of alternative materials
R&D Tax Credit FAQs
What is the R&D Tax Credit?
The Research & Development (R&D) Tax Credit is a federal and state incentive
designed to reward businesses that invest in innovation, such as developing new
products, improving processes, or enhancing technology.
Who qualifies for the credit?
Any company—across industries—that incurs expenses for qualified research activities
may be eligible. This includes wages, supplies used in R&D, and contract research costs.
What expenses count toward the credit?
Qualified expenses typically include wages for technical employees, supplies consumed
during research, cloud computing costs, and third-party contract research.
How far back can I claim the credit?
Companies can typically amend prior tax returns for up to three open tax years to
capture missed credits. Startups may also apply unused credits against payroll taxes.
How does Accelerate help?
Our team of CPAs, engineers, and tax specialists streamline the study process—ensuring
compliance, audit-ready documentation, and maximized benefits for your business.