01.02.07
R&D Tax Credit Extended
Legislation relating to the R&D Tax Credit was signed into law December 20, 2006, by President Bush, retroactively extending the credit from January 1, 2006, through December 31, 2007. Legislation relating to the extension of the tax credit was included in The Tax Relief and Health Care Act of 2006.
The language contained in the bill requires that R&D Tax Credits for 2006 be computed using the same IRS guidelines as in previous years; however, the new legislation provides language for a strengthened tax credit and a simplified credit calculation format, which is referred to as the "Alternative Simplified Credit" for 2007. Requirements relating to supporting documentation remain unaffected for both 2006 and 2007.
Please feel free to contact us if you have any questions or would like to know how you might benefit even more substantially from the R&D Tax Credit.