YOUR SPECIALTY TAX INCENTIVE EXPERTS!
R&D Tax Credit
The R&D tax credit is one of the most powerful incentives in the tax code. Due to the broad definition of “qualified research”, businesses in nearly every industry take advantage of the credit. To see what activities may qualify, check out the Industries below to learn about R&D for your company. The R&D tax credit is based on “qualified research expenses” (QREs) – for every dollar spent on QREs, you can earn up to 8.0% in federal tax credits! Additionally, over 40 states offer similar R&D tax incentives that can double benefits in some cases.
Cost Segregation is a tax strategy for acquired, renovated, and newly built buildings that provides the benefit of accelerated depreciation, which reduces taxes and increases cash flow. Building owners can take advantage of the ability to look back and “catch-up” lost depreciation deductions without having to amend a tax return. At BRAYN, Cost Segregation studies are performed under the responsible charge of professional engineers with industry experience in construction to ensure the most thorough and comprehensive study.
The Internal Revenue Service and various state taxing authorities will occasionally examine taxpayers’ refund claims to ensure compliance with statutes and rules. Taxpayers must be prepared to provide support for their claims to avoid disallowance of refunds and imposition of penalties and interest. BRAYN understands the complexities of tax controversy, defends its clients under audit, and tailors comprehensive documentation packages to substantiate the taxpayer’s claims. With over 99% of claimed credits and deductions staying in client pockets, it’s no wonder that BRAYN is a leader in the specialty tax space.
45L Energy Efficient Home Credit
The 45L Tax Credit is available to single-family and multi-family builders for exceeding certain energy standards. The credit is $2,000 per dwelling unit to be claimed in the tax year each unit is first sold or leased. The credit can be claimed for newly constructed and substantially renovated homes and apartments. Claiming the credit requires energy modeling, inspections, and certification from an eligible certifier.
Payroll Tax Credit
As an extension of the R&D tax credit, the payroll tax credit refers to a new opportunity for taxpayers who are deemed “qualified small businesses” and perform qualified research to offset up to $250,000 of the employer portion of FICA payroll tax, starting as early as the 2nd payroll tax quarter in 2017.
This is an especially great opportunity for start-ups performing R&D!
179D Energy Efficient Commercial Building Deduction
The 179D incentive is a federal tax deduction of up to $1.80 per square foot available to architects, engineers, and contractors for their work on newly constructed and renovated government buildings. Designers and builders of K-12 schools, city and county buildings, state universities, and federal and military buildings are taking advantage of this lucrative tax incentive for energy efficient HVAC, lighting, and building envelope scope of work. Commercial property owners are also able to claim this valuable tax incentive.
Fuel Tax Recovery
For federal purposes, taxpayers may be eligible for refunds of tax paid on gallons of gasoline, diesel, and other fuels used in vehicles and equipment. Many states extend additional refund opportunities to vehicles licensed for on-road use, such as cement mixers and garbage trucks, and for specified activities, such as driving off-highway and idling. Companies with fleets in the transportation, distribution, refuse collection, construction, and oil and gas industries should conduct a free assessment to determine whether they are missing significant tax savings.
Additionally, fuel resellers/marketers often require licenses and registrations in multiple jurisdictions to conduct business. The licensing and reporting process differs from state to state and from state to federal, which often leads to oversights and costly mistakes, including additional tax liabilities, penalties, and interest. For example, a single miscode of a truck delivery on a Form 720-CS incurs a $10,000 penalty, which may have been made on multiple reports over a series of months, snowballing quickly into a large sum. BRAYN works with taxpayers and the taxing authorities to help reduce or even eliminate the liability, penalty, and interest.