Using estimates in claiming your R&D tax credit

Now that we are in tax season, you may be thinking about your personal taxes and taking a deduction from all the old junk from your garage you donated last year. How do you determine the value to deduct? One solution is to dig out old receipts, perhaps depreciate certain items, and sum it all up. Obviously that is too cumbersome a task for most people. A realistic solution is to just estimate the value. We often hear concerns from our clients regarding estimating R&D expenses for the R&D tax credit. Similar to the example earlier, you can also estimate the expenses that go into your R&D tax credit calculation. Let’s take a real life example from a Tax Credit … Read More