If your company is involved in practical, technical problem-solving, or applied research, it might qualify for a Research and Development Tax Credit (R&D tax credit). The general rule regarding tax credit claims like this is that the more your company spends on R&D, the more credits your company can generate.
To maximize tax credits like this, you must tap a great company specializing in tax credit services. To make this process easier, we’ve developed a list of 10 of the best R&D tax credit companies in 2024.
Top 10 R&D Tax Credit Companies
1. Massie R&D Tax Credits
Massie has a dedicated team that specializes in research and development tax credits. With over 20 years of experience, this company aims to make the R&D tax credit experience easier for their clients’ subject matter experts, tax departments, and even the IRS.
Massie has a unique approach to helping companies with their tax credits called the MASSIE method. This method is designed to make R&D tax credit documentation, preparation, and filing easier for everyone involved by encouraging greater participation, which generates more extensive credits and ensures smoother audits.
2. PricewaterhouseCoopers (PWC)
PwC helps companies identify federal and state R&D tax credits, enabling them to realize cash tax savings for qualified research activities. If your company has a global scope for qualified research expenses, PwC can help your business maximize valuable tax incentives.
PwC combines its leading R&D tax knowledge and services with an innovative web application called Global Incentives Solutions, an R&D tax credit software designed to effectively and efficiently identify qualified research expenses worldwide.
3. Acena Consulting
Acena Consulting is a multi-dimensional tax and accounting services company supporting public and privately held companies. This company helps eligible entities reduce tax their tax burden and operation expenses to increase cash flow and drive overall business growth.
Acena Consulting caters to entities of various scopes to aid them in navigating the complex process of tax credits. What makes Acena Consulting unique is that it offers potential clients, including startup companies, a digital calculator to find an estimate for R&D tax credits.
4. Engineered Tax Credits
Suppose you’re a small business with limited resources. In that case, you’ll be happy to learn that Engineered Tax Credits (ETS) offers a complimentary R&D tax credit analysis and educates potential clients on their eligibility for this federal incentive.
What’s great about this company is that it features tax credit studies on its website. This gives you a preview of what to expect from them.
5. Tri Merit
Claiming one’s R&D tax credit is a complex process that requires an engineering-based case study. Tri Merit simplifies this process and helps eligible companies determine the potential credit’s size, the usability of those credits, and the appropriate method for supporting the R&D credit claims. Hence, they hold up even under the most stringent IRS scrutiny.
The audit support Tri Merit provides gives this company a competitive advantage. Tri Merit engages clients as efficiently and effectively as possible, requiring minimal time and effort, resulting in a refreshingly simple process.
6. Moss Adams
Determining the expenses for improved manufacturing processes requires companies to look back on years of R&D expenses. Moss Adams has worked with companies in various industries. Thus, this company has extensive experience in helping different kinds of corporations.
Moss Adams provides potential clients with complimentary benefits estimates to give them a preview of what the company can offer. This gives clients an idea of what to expect when working with their team.
7. Cherry Bekaert
Cherry Bekaert has developed a systematic approach designed to maximize your R&D tax credit and gain a solid defense against IRS criticism. Its edge over other companies is its experience. Cherry Bekaert has over 75 years of experience providing high-quality financial and management services to a diverse and thriving client base.
It is among the country’s largest accounting firms. Likewise, Cherry Bekaert features various case studies that companies can use to see what their firm is capable of.
8. BDO
BDO has a dedicated R&D tax credits team that helps clients identify, calculate, and claim the maximum benefit their R&D activities support. Over the past twenty years, this company has helped clients claim billions of dollars in R&D tax credits with tax planning for R&D. BDO also works with clients to implement tools and processes to streamline future year credit claims and offer exam and appeals support.
BDO offers potential clients a complimentary R&D review and has an R&D calculator for companies to estimate what they can expect from filing an R&D tax credit for software development for a new or improved product.
9. Haynie & Company
Haynie & Company has a team of R&D tax credit experts who can help you calculate this federal tax credit by analyzing your qualified research expenditures and organizing vital documentation. This firm can carry the credit forward up to 20 years and even perform look-back studies to find unclaimed credits for open tax years (generally 3-4 years.)
If your company wants to maximize R&D tax credits in the long term, tapping this company might be an excellent investment. Haynie & Company caters to small and large businesses nationwide.
10. FI Group
If your company operates globally, you’ll be happy to learn that FI Group is a global expert on R&D tax incentives. Its team of specialists from different fields makes FI Group unique; approaching the R&D tax credit from a technical side allows the company to provide an exceptional experience for all its clients.
If your company has R&D operations globally, this is a company you should consider working with.
Benefits of Working with R&D Tax Credit Companies
Why should tap experts in tax credit services? Here are some of the benefits your company can enjoy from working with experts in Research and Development tax credit:
- Expertise and experience in identifying qualifying activities: These companies understand the complex processes involved in filing tax credits. They’re also updated with the latest regulations, so you’re ready for any changes.
- Maximizing your R&D tax credit: With their help, you can maximize this tax benefit and allot more funds for other R&D activities. Many businesses don’t understand what they can and cannot claim as R&D activities, and these experts can help you get the biggest claim.
- Ensuring compliance with IRS regulations: The IRS can be rigid when auditing companies, and with their help, you can be ready to defend your tax claim. These companies are updated with the latest news and regulations, so you don’t have to monitor them regularly.
- Saving time and resources: Your team can focus on core business activities since other experts will take care of your tax claims. Moreover, you don’t have to spend time and resources learning how this tax credit works.
- Reducing the risk of audits and penalties: Miscalculations can be expensive, and you spare yourself from potential problems when you entrust your tax credit services with experts.
How to Choose the Best R&D Tax Credit Company for Your Business?
Assess your Company’s Needs and Goals
Each company is unique, and you need to determine your goal when filing R&D tax credits.
Consider the Company’s Experience and Track Record
You should work with a company with extensive experience and an excellent track record regarding R&D tax claims.
Evaluate their Communication and Collaboration Process
How will the company work with you and your team? You should determine whether you’re comfortable with the company’s processes to determine whether they’re the right fit for your business.
Compare Pricing and Fee Structures
Can you afford their services? One of the most vital things you should consider is how much that company will charge you. That’s why you should inquire about the rates of different suppliers.
Check for Client Testimonials and Case Studies
What is it like to work for that company? You should check for case studies to see what the company is capable of. Client testimonials can also help you determine if they can meet your needs.
Next Steps
If you want to maximize R&D tax credits, you need to work with a team that understands what you need and can make the process as smooth as possible. Ultimately, you should look for a partner who can handle your business scope and help you achieve your goals.
FAQs
How many companies claim R&D tax credits?
Over 14,000 companies claim the R&D tax credit annually.
Is the R&D tax credit still available?
Yes, the R&D tax credit is still available for eligible companies.
How do I qualify for a federal R&D tax credit?
Your company needs to pass the 4-part test to qualify for a federal R&D tax credit, which includes improved manufacturing processes, technical uncertainty, technological in nature, and experimental processes.
Who created the R&D tax credit?
The R&D Tax Credit was initially introduced in the Economic Recovery Tax Act of 1981, sponsored by U.S. Representative Jack Kemp and U.S. Senator William Roth.