Taxation (CPE)

The Research and Development (R&D) Tax Credit is a powerful incentive designed to encourage innovation and drive success for businesses across various industries. By offering significant tax savings, these credits help companies invest in research and development activities, fostering technological advancements and improving competitiveness. Understanding how to maximize these benefits is crucial for businesses aiming to enhance their R&D initiatives and achieve sustainable growth. In this webcast, a panel of thought leaders organized by The Knowledge Group will provide an in-depth discussion of R&D Tax Credits. Speakers will analyze the latest trends, regulatory updates, and strategies for optimizing credit claims. They will also examine the common challenges businesses face in documenting and defending their R&D activities. Additionally, the panel will explore how different industries can leverage these credits to fuel innovation and drive economic success.

Innovation is the driving force behind business growth and success, and Research and Development (R&D) serves as the catalyst for innovation. As we venture into the dynamic landscape of 2024 and beyond, maintaining a competitive edge requires more than just visionary ideas; it demands strategic financial acumen.

Discover how R&D tax credits can be a game-changer for businesses, regardless of size. These credits serve as a financial catalyst, effectively offsetting innovation costs and driving unprecedented growth. However, staying up to date in the ever-evolving R&D tax credit landscape can be challenging, with new regulations and guidance emerging regularly.

The Tax Cuts and Jobs Act (TCJA) has been beneficial for companies engaged in research and development (R&D). It kept the R&D tax credit permanent and eliminated other tax credits and incentives in exchange for lower tax rates. However, beginning after December 31, 2021, the taxpayer option to deduct current R&D expenditures was abolished. It now requires the charging of expenditures to a capital account and amortizing them in a specified number of years.

Companies engaging in mergers and acquisitions (M&A) transactions often don’t consider the multistate tax aspects of the deal until the transaction is ready to close. Retroactive sales tax exposure is one item addressed by the purchasing company in the due diligence process and often leaves the seller surprised at the discovery of unexpected liabilities.

Keeping pace with the ever-evolving tax rules is one of the biggest pain points for tax teams.

The Internal Revenue Service (IRS) continues to intensify its enforcement initiatives on delinquent taxpayers through the new issue-focused approach.

As organizations across industries look for new ways to reach customers, many have turned to easily activated ecommerce channels or have begun to sell through third-party marketplaces.

The aggressive focus against tax evasion and other criminal activities around the globe is likely to continue. In the U.S., the crackdown on taxpayers who fail to report offshore financial assets and accounts remains to be a top priority for the Internal Revenue Service (IRS) Criminal Investigation Department, including non-compliant virtual currency that should be disclosed under the expanded cryptocurrency reporting.

In December 2019, the Final Regulations for Qualified Opportunity Zone Program were issued by Treasury and the Internal Revenue Service (IRS). The Final Regulations were reported in the Federal Register in January 2020 and will become final in mid-March.

In April 2019, the Internal Revenue Services (IRS) released its second set of new regulations on the Qualified Opportunity Zone (QOZ) program. The additional guidelines aim to give light on the initial regulations released last 2018. However, several open questions still remain, that investors and related practitioners must be continuously proactive in monitoring the latest regulatory trends and development. Understanding the latest updates and how these might affect their businesses also will help them maximize opportunities while mitigating potential risks and pitfalls.

In recent years, state and local governments have become more proactive in pursuing additional revenue through stricter application of their tax laws. Additionally, revenue authorities have also significantly widened their search for new revenues. These have made taxpayers grapple with problems and lawsuits at the audit and novel roles.

With the notable tax reforms that took place during the past years, the Research and Development (R&D) Tax Credit has been an effective and efficient partner for businesses to cut income tax liabilities.

Emerging trends and developments have brought sweeping changes to the sales and use tax landscape. In recent years, economic nexus legislations, following the South Dakota vs. Wayfair decision, have continuously affected corporations from various states. Adding to the challenges are the impacts brought by COVID-19, which include cash flow and state obligation issues. In response, new rules for deferral reliefs on sales and use tax filing and payment have now been laid down.