R&D Tax Credits

The Manufacturing Incentives benefit is a federal program designed for companies that perform manufacturing in the U.S. This program is listed under Section 41 or the IRC (Internal Revenue Code) and continues to be amended on an annual basis as the U.S.

The manufacturing landscape continues to evolve, but it’is an engineer-based program that focuses on a company’s operations and processes in order to determine their qualification for incentives. The Manufacturing Incentives benefit provides an avenue to receive “tax money” back from prior years, while simultaneously reducing current taxable income on a dollar-for-dollar basis. 

Who and what qualifies as research and development (R&D) is much broader than most realize. Activities and costs related to developing or improving a product and/or process often qualify for R&D tax credits. Engineering, design, testing, and programming are now included as Qualified Research Activities (QRE). Industries that most commonly qualify are:

R&D tax credits

  • Manufacturing

  • Fabrication

  • Engineering

  • Software Developers

  • Chemical

  • Tool & Die

  • Machine Shops

  • Plastics Manufacturers

  • Pharmaceutical

  • Biotechnology

  • Food Sciences/Manufacturers

Painless Tax utilizes a team of highly qualified professionals, including IP attorneys with engineering backgrounds, and adheres to the Comprehensive Project by Project Approach methodology as required by the IRS. We qualify every applicable employee, activity, hour spent, and corresponding wage paid in order to maximize the incentive for our client. We strictly adhere to the applicable sections of the code and provide first-in-class documentation to substantiate our findings.

An initial consultation is done over the phone with one of our R&D Specialists to identify potential Qualified Research Expenditures (QRE). If qualifications are identified, GMG will collect an authorization to begin working on the client’s behalf. No fee is charged until credits are identified and utilization is verified with the client’s accounting representation.

The initial consultation is a simple and quick process.