In order to benefit from R&D, all research activities performed by qualifying companies must be thoroughly documented. Our team of tax-saving experts will create and provide guidance on the needed documentation.
In the regular credit method, the credit can be calculated by 20% of the company’s current year qualified research expenses (QREs) over a base amount.
When calculating these, the base amount must not be less than 50% of the current year’s QREs and the fixed base percentage must not exceed 16%.
For the 179D, you will need to have the following from a builder:
- Current full set of architectural plans that include all specifications
- Energy compliance documents for lighting, HVAC, and envelope (Title 24 or IECC)
- EnergyPro File – computer file used to generate T-24 documentation
- A contact person and phone number
To be eligible for a 45L tax credit, you must apply to all of the following statements:
- Project must be three stories or less above ground (not including below-grade parking)
- Project must be built on the territory of the United States
- Project must meet construction standards based on those set by the 2006 International
Energy Conservation Code (IECC)
- Project must be completed between August 8, 2005, and December 31, 2021
- Construction can include “substantial” rehabilitation and reconstruction