Investing in innovation is at the heart of the Research Tax Credit. However, each company that qualifies is typically unique at some level from its competitors and peers. These different sets of business circumstances require different approaches to benefit from the credit. For this reason, our engineers perform retroactive engagements, current-year evaluations, and “a la carte” services including audit defense and contract reviews.

Retroactive Studies

Companies that qualify to for the R&D Tax Credit can typically go back three open tax years to claim credits generated during that time period; often times resulting in refund checks aka “immediate cash flow” at the federal and certain state levels for those companies who have been paying tax. Retroactive studies allow the taxpayer to establish a baseline on activities and methodologies for years going forward. Additionally, unused credits can be carried forward up to 20 years for those who have generated a credit, but who have been in a net operating loss (NOL).

Current Year Studies

Annual studies and reviews are the fastest growing type of service in the industry. This is a direct result of the ever-increasing scrutiny of documentation by the IRS. For start-ups and/or companies who do not have contemporaneous documentation for years past, a current year study can be the foundation to build an audit-ready case to claim the credit now and for years to come. With the
Tier One directive issued by the IRS in April 2007, companies that have previously been claiming the credit can no longer assume that the same methodology can be utilized in going forward years.

Risk Advisory Services

Many companies that have been taking advantage of the credit with claims that have not been ascertained through engineering-based studies can suddenly find themselves in a position where they need to substantiate their claims at either the Federal or State level. For this reason, we offer services such as audit defense and contract review as an al a carte offering. Our professionals have extensive experience representing their clients before the IRS and state regulatory agencies; and maintain an audit record that is unequaled in our industry.