Section 174 Update – R&D Expenditure Capitalization

The IRS released an advance version of Notice 2023-63 providing interim guidance intended to clarify the application of section 174, as amended by the “Tax Cuts and Jobs Act” (TCJA). The notice includes guidance addressing:

New Changes to R&D Tax Credit in 2023

2023 brought several changes to the R&D tax credit and its related provisions. As many of you already know, the R&D tax credit can be used to offset both INCOME taxes and/or PAYROLL taxes depending on your company’s eligibility status. Let’s start with the change that would be relevant to your entity’s income taxes. Some […]

What is Research and Development Tax Credit?

The history of the R&D tax credit, also referred to as the Research Credit, started almost 35 years ago to allow businesses that leverage science and technology in their product or process development to reduce corporate income tax liabilities. But it wasn’t until recently  with the passage of the Tax Cuts and Jobs Act (TCJA) in 2017  that this lucrative tax  incentive credit became relevant […]