On April 9, 2013, Maryland’s Governor, Martin O’Malley, approved HB 386 extending and expanding Maryland’s research and development (R&D) tax credit. Maryland’s current R&D tax credit law provides a credit against regular Maryland tax for companies incurring qualified research expenses (QREs) within the state. Maryland currently caps its R&D credits at $6 million per calendar ...

Union Carbide Corporation R&D Tax Credit Case Now Final: The Supreme Court denied certiorari review on March 18, 2013 The widely followed R&D Tax Credit case involving Union Carbide Corporation (UCC) and the cost of supplies used during production has finally come to an end. On March 18, 2013, the Supreme Court denied review of ...

IRS to Create Repair vs. Capitalization Guidelines Specific to Retail Industry Recently, the IRS and the Treasury Department announced that they have accepted a request from the National Retail Federation and Retail Industry Leaders Association for guidance under the IRS’ Industry Issue Resolution (IIR) program regarding the new Repair vs. Capitalization Regulations. The purpose of ...

Summary: In the recently released Chief Counsel Memo #20125201F, the IRS makes it clear that even if you engage a third party to perform a cost segregation analysis, taxpayers cannot avoid penalties for aggressive positions taken in the cost segregation report.  This particular instance involves the issue of improperly classifying a parking deck as a ...

For tax years beginning on or after January 1, 2012, the State of Florida allows a qualified “business enterprise” to claim a state R&D credit of 10% for qualified research expenses (“QREs”) incurred in Florida (2012 Florida Statute §220.196). Is there an application process? Yes. An application process must be completed in order to be ...

Congress passed a two-year extension for the R&D Tax Credit as part of the Fiscal Cliff Relief bill. The “American Taxpayer Relief Act of 2012″ (the Act), which the President signed into law on Jan 2, 2013, extends the credit retroactively and is now set to expire at the end of 2013. This is the ...

Tax Alert: Energy Efficiency Tax Credits for Multifamily Developers Extended as Part of Fiscal Cliff Agreement In an effort to avert the “Fiscal Cliff”, Congress passed the American Taxpayer Relief Act of 2012 on New Year’s Day, and President Obama has vowed to sign this into law soon. This bill extends many key business tax ...

On Friday, December 14, the IRS published the amended temporary Repair vs. Capitalization regulations to incorporate the changes announced in the recent Notice 2012-73. The changes include a two year delay of the effective date of the regulations to January 1, 2014. While Notice 2012-73 indicated that taxpayers had the option to apply the temporary ...

Thank you for attending our RD 101: Research & Development Tax Credit Overview webinar. We hope you enjoyed the course and find the information useful towards understanding the R&D Tax Credit. We encourage you to reach out to us for any additional concerns you may have regarding the material covered in class. We hope that ...

Dallas Business Journal Interviews The KBKG Director of R&D Tax Credits Author: Dallas Business Journal Commentary by: Bruce Stubbs. Director of R&D, KBKG » Biography The Dallas Business Journal interviewed Bruce Stubbs, Director of R&D at KBKG Inc., in an article titled “Extra Credit for Innovation”. In the interview, Bruce recommends using a time tracking ...