R&D Tax Credit for Manufacturing

Many manufacturing companies are missing out on valuable tax credits they deserve! One such credit is the R&D Tax Credit offered by the IRS for the purpose of incentivizing companies that perform R&D activities. The credit is designed to reimburse manufacturers who develop new products or inventions and offers a significant percentage back to the company for Qualified Research Activities and Qualified Research Expenses. You do not need to be a large company to qualify for the credit. ETS has helped companies of all sizes across the US to identify these expenditures and receive the tax benefits they have been missing.

Domestic Production Activities Deduction (DPAD) is another tax incentive currently available for production activities within the US.

Manufacturing companies can potentially claim the Research Tax Credit for:

  • New Product Development that represents best in class product roll-out
  • Manufacturing Process Improvements (MPIs) of property, plant and equipment to increase assembly line efficiencies. This requires collaboration with process engineers at the plant level (whether with a pilot plant or not)
  • Developing New Products
  • Developing updated and revised products or manufacturing methods
  • Designing and developing new equipment or processes
  • The implementation of new and innovative processes
  • Process Optimization

The best way to determine if and how much of your business activities will qualify for R&D Tax Credit or DPAD benefits, please contact us to speak with our Research & Development Tax Credit team. This team has over 25 years in the R&D industry both on the tax side and the engineering side and can provide an unparalleled level of knowledge and information to assist you. Please contact us at (561) 253-6640 or email here.