Research and Development Credit


Robert D Shannon CPA is a Titan Armor R&D Tax Credit Software Strategic Partner

The Research and Development Credit (R & D Credit) can generate significant tax savings at both the Federal and state levels, thereby cutting your cost of innovation significantly. In spite of this, taxpayers have been ignoring the credit due to the high costs of obtaining it in the past.  Many manufacturers (including contract manufacturers, architects, software engineers and others) are failing to take advantage of this tax benefit.  In past years, the IRS has made taking the R & D Credit very difficult and expensive by its overly restrictive interpretation of IRC 41.  Now, though, there has been a sea change in the administration of the credit and it is easier and cheaper to prepare your documentation to support the credit.

With the new changes it's definitely worth taxpayer’s time to see if they qualify for the credit. There is no longer any need for companies to commission an expensive patent review of their research and development activities to qualify for the credit.

Titan Armor Solution

We work with your employees and with Titan Armor to ensure that the required documentation is there, ready to back up your credit claim.  This avoids penalties for inadequate documentation. Note that a mechanical application of the “look back” method is not adequate to sustain your credit. Our partnership with Titan Armor is a very cost effective way to make a R & D Credit claim that meets IRS documentation requirements.

There are four tests to determine qualification:

• Does it improve performance
• Does it improve reliability
• Does it improve functionality
• Does it improve quality

Robert D. Shannon, CPA, has in depth experience in transportation, manufacturing, high tech, and construction industries. With some background information and a description of your business, we can make a preliminary determination of whether it makes sense for you to proceed with an R & D Credit study.

Primarily, we work with privately held companies in the small and mid market areas.  Our experience includes work for small firms with privately held clients, as well as Tier I and Tier II auto suppliers, an OEM and one of the Big Four firms.  We bring insights from all these areas to focus on solving your problems in a cost effective manner.  

Make sure you are not leaving tax benefits on the table.  Contact us to see what we can do to help you claim these benefits.