The Inflation Reduction Act expanded the R&D credit from $250,000 to $500,000 per year for payroll taxes.
How do you qualify?
- Private company (not publicly traded),
- Less than five years old,
- Less than $5 million in revenues,
- Qualified Research
- Discovery of new information that is technological in nature
- Develops or improves the business component of the company.
The increased credit amount will start after December 31, 2022.
You can still apply for up to $250,000 for this 2022 and prior tax years.
If you need a good referral to a tax expert, please let me know.
