Specialty Tax for Architects & Engineers
179D EPAct | R&D Tax Credit | Construction Tax Planning
Did you know architects are eligible for a federal tax benefit of up to $1.80 per square foot for the design of energy-efficient public buildings placed into service after January 1, 2006. Benefits originally awarded to architects through 179D EPAct have recently been extended through December 31, 2016 with the efforts and support of the AIA.
Architects are experiencing positive effects on their businesses as a result of the 2005 Energy Policy Act’s recent extension.
- Increased cash flow through direct allocation of the federal tax benefit (up to $1.80 per square foot) for the design of energy efficient systems in new or existing public buildings owned by a federal, state, or local government.
- Increased satisfaction and loyalty from commercial building owner clients who are eligible for the same tax benefit.
- Competitive advantage in the marketplace: Architects with the knowledge of these tax benefits are able to bid public building projects much more competitively. As we see an increase in Public Building production to stimulate the economy, this can be a significant tool in successfully winning bids.
At Engineered Tax Services (ETS), we partner with architects nationally to provide independent, third-party certification as required by the IRS to help them take advantage of these significant tax benefits. Our experienced team of engineers can help you assess past, current, and future projects for tax benefits and guide you and your clients through the certification process. Our experience includes certification on hundreds of public schools securing major tax deductions for architects for the future. ETS works in collaboration with your CPA firm to ensure the process of obtaining your tax benefits follows legislation guidelines. We are approved for the Energy Efficiency Certification Process so you can start taking advantage of valuable tax savings and increase cash flow for your business immediately.
Professional Continuing Education for Architects
ETS is a member of the U.S. Green Building Council (USGBC). With the most innovative and highest-quality LEED and green building knowledge and training, approved USGBC educational courses help green building professionals across all market sectors build the capacity to build their careers. ETS is proud to offer USGBC-approved courses specifically designed for architects.
We offer proactive evaluation of construction and renovation projects in order to capture the most out of current IRS rules regarding personal and real property, and energy tax incentives. Please visit our Construction Tax Planning page for more detailed information.
Research Tax Credit for Architects
Many design companies are missing out on valuable tax credits they deserve! One such credit is the Research & Development Tax Credit (R&D) offered by the IRS for the purpose of incentivizing companies that perform R&D activities. The credit is designed to reimburse companies 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 U.S. to identify these expenditures and receive the tax benefits they have been missing.
Architects, engineers, and construction firms generally face numerous technical uncertainties at the outset of the design phase.
Common technical uncertainties often incorporated into architectural and engineering R&D tax credit studies include:
- Structural Details (Structural Engineering)
- Mechanical Systems (Mechanical Engineering)
- Energy Efficiency (Energy Engineering)
- Electrical Engineering for specialized facilities such as Hotels, Casinos, Hospitals and Manufacturing Plants (with or without Pilot Plants)
- Site Orientation and Optimal Materials including Biological Testing of Soils or Other Aspects of Material Science
Potentially Qualifying Activities:
- Developing unique energy-efficient features
- Developing unique waste water technologies
- Developing unique flashing details
- Developing new building elevations
- Developing site plan to overcome site features
- Designing innovative sanitary sewer systems
- Designing unique lateral force resistance systems
- Developing plans to meet unique/specific load requirements
- Determining alternative materials to improve design or meet specific requirements
- Improving acoustical qualities of a structure
- Developing unique heating, cooling, or ventilation systems
If you have activities that fall within any of these categories, please contact us today at 561-253-6640 or email firstname.lastname@example.org