R&D Tax Credits
An AI System Built for Messy and Incomplete Data
Large language models love large bodies of text. What would take a human months can be done in an instant. Even with the messiest of data, Neo.Tax's AI System can deliver an R&D credit with better substantiation than the time-consuming process of engineer interviews, because it’s one based on contemporaneous data, which the IRS now prefers.
Neo.Tax Has Simplified the Multi-Year Lookback R&D Credit
Many people don’t know this, but you can claim the R&D tax credit for the current tax year plus amend returns for the previous three tax years. For example, in 2023, you could claim credits for 2023, 2022, 2021, and 2020. That retroactive tax filing could be worth hundreds of thousands of dollars (or more) for your company.
The IRS’s Proposed Form 6765 Would Change How You File for an R&D Credit
Accuracy, supported by quantifiable data, will become even more essential for those filing for the R&D credit. Luckily, Neo.Tax’s automated filing LLM connects directly to your project-management and payroll & GL software to create a data-backed filing that already meets the proposed higher IRS standard. And best of all, you can be confident that your R&D credit filing is backed by contemporaneous data and audit-ready.
Neo.Tax's Tax Season 2024 Calendar
Department heads spend over 150 hours each year getting R&D taxes prepared for enterprise companies! That’s why, at Neo.Tax, we’ve built a tool to streamline the arduous R&D tax process.
R&D Tax Credits for the Apparel Sector
The apparel industry is a space where innovation is treasured. That means, more likely than not, you're owed money via the R&D Tax Credit. Neo.Tax is here to help you claim it!
R&D Tax Credits for Food and Beverage Businesses
Food & Beverage is a space overflowing with innovative thinkers. So, chances are you qualify for an R&D Tax Credit — Neo.Tax is here to help claim the money you're owed!
R&D Tax Credits for Communications and Media
The misconception that the R&D tax credit isn’t for all industries means that a majority of eligible companies are missing out on claiming the money they’re owed. That's why Neo.Tax has created the ultimate guide for Communications and Media R&D Tax Credits.
R&D Tax Credits for Manufacturing & Consumer Products
Manufacturing & Consumer Products businesses are constantly striving for new designs for customers and for their factories. Find out which expenses qualify for the R&D Tax Credit!
R&D Tax Credits for Wineries & Breweries
Most people running wineries and breweries would never think to file an R&D Tax Credit. But if you're using innovative processes, you might just qualify!
R&D Tax Credits for the Agriculture Industry
Many agriculture businesses don't know that they can file for an R&D Tax Credit. Hybridizing, automation, and a host of other costs may be considered qualified research expenses!
R&D Tax Credits for the Healthtech Industry
Healthtech is changing the present and future of medical care. Clearly, an innovative industry relies heavily on R&D investment — so, you're almost certainly owed money via the R&D Tax Credit!
R&D Tax Credits for the Retail Industry
When you think retail, you don't think of research-and-development costs. But, in reality, many retail businesses qualify for the R&D Tax Credit. In this post, we explain the parameters of a qualified expense and share some common examples that may apply to your business!
R&D Tax Credits for the Fintech Industry
What steps should your Fintech take to claim the R&D Tax Credit and what expenses count as qualified expenses that are eligible for the credit? Read Neo.Tax's Fintech R&D Tax Credit Guide to learn more!
R&D Tax Credits for the Life Sciences Industry
If you're in the Life Sciences space, chances are you're owed money via the R&D Tax Credit. That's why Neo.Tax has created the ultimate guide for Life Sciences Industry R&D Tax Credits!
R&D Tax Credits for the Construction Industry
Though tech and Fortune 500 companies claim the majority of R&D tax credits, the law was built for all industries that are innovating within the United States. That's why Neo.Tax has created the ultimate guide for Construction Industry R&D Tax Credits!
R&D Tax Credits for the E-Commerce Industry
Neo.Tax has created the ultimate guide for E-Commerce R&D Tax Credits to make sure companies like yours can maximize the value of their R&D credits!
R&D Tax Credits for the Healthcare Industry
The misconception that the R&D tax credit isn’t for all industries means that a majority of eligible companies are missing out on claiming the money they’re owed. That's why Neo.Tax has created the ultimate guide for Healthcare R&D Tax Credits!
The Language of R&D Taxes, Translated
You’re not an accountant, but for founders, CFOs, and CEOs, understanding the language of taxes can help you strategize from a position of strength. So, we’re proud to present “The Language of R&D Taxes, Translated”, a helpful cheat sheet from your friends at Neo.Tax :)
R&D Capitalization Is Here To Stay...
At Neo.Tax, we’ve been preparing for months for the eventuality that Congress wouldn't strike a deal to end R&D Capitalization. We view it as our duty to make taxes work for innovative companies, so we’re proud to say that Neo.Tax has the only software solution that can cover all aspects of R&D tax strategy: from credits to amortization, and everything in between.
A Poem About a Tax Time Bomb
The most unpopular tax time bomb just went off... what can you do about it?
How Does the U.S. R&D Policy Stack Up With The World?
During the rollout of his signature corporate tax cut, the Tax Cut and Jobs Act of 2017, President Donald Trump argued that his plan would stop U.S. companies from offshoring their work overseas. But according to Reuters, it failed to curtail the flow of American jobs abroad…
What Do the Midterm Elections Mean for R&D Capitalization?
Every pollster and cable news talkinghead predicted a Red Wave: the Republicans would take back the House and the Senate—the only question was by how wide a margin. But then, Election Day came, and the Democrats outperformed both expectations and the historical…
Inflation is Wreaking Havoc on Startups' Runway
We’ve heard the stresses of the current inflationary moment explained in a lot of ways—through the rise in gas prices, the cost of Thanksgiving dinner, and the exorbitant increase in mortgage rates—but a recent LinkedIn post by Tomasz Tunguz framed it in a way every founder should pay attention to…
R&D Capitalization is a Big Forkin' Deal—Megacorporations are Planning For It; So Should You
As Q3 earnings reports emerge, a new reality is coming into focus. Meta’s disappointing projections sent the social media giant’s share price to free fall, which captured most of the headlines. Analysts focused on runaway spending and the hit to their ad business, but there is another factor which Meta was already focused on as early…
The Founder's Guide to R&D Capitalization
Just like every other startup, we had our fingers crossed that Congress would come together to undo the new R&D Capitalization rules before they take effect next tax year. But, unfortunately, it seems as though the new reality is here to stay (at least for now). We built Neo.Tax to...
“Why” Are R&D Taxes Changing? New Capitalization Rules Hurt Innovative Startups Most Of All
Tax law is rarely popular, especially with both sides of the aisle. But the R&D tax credit has done the unthinkable: change the tax code to appeal to everyone, by incentivizing innovation within the United States. Every 1-2 years since it was created in 1981, the R&D tax credit has...
Why These Tax Changes? It's All Politics
when congress extended r&d credits to startups in 2016, a deal had to be struck. a bargain that had to counterbalance the giving of money to startups, with some way of recouping that money (or more) via taxes. “ok fine, we’ll give startups up to $250k for their investments in product development, but...
New Tax Changes are Double-Edged for Startups
we’ll give you the bad news first startups can no longer deduct (aka subtract) r&d expenses from revenue. for software or product development costs, you now have to capitalize (aka spread them out) over 5 years if they’re domestic, and over 15 years if they’re foreign (aka offshore). because of something called...
The Startup's Guide To Payroll
By Neo.Tax Team So you’re a startup and believe the best way to get the help you need to build your company is with independent contractors... hmmm, interesting. It’s your company, so we’re not here to tell you how to run it, just that you’re missing out on up...
5 Common Misconceptions About The R&D Tax Credit
By Neo.Tax Team 5 min read What's holding you back from filing for R&D Tax Credits? With all the misconceptions around research and development tax credits, it’s no wonder that most small to mid-sized business owners don’t file–and it definitely doesn’t help how complicated it seems the IRS...
3 Ways Automated Tax Filing Could Help The Average American
By Neo.Tax Team 5 min read A recent study from the U.S. Department of the Treasury, the Minneapolis Federal Reserve, and Dartmouth College found the IRS can automate between 62 million and 73 million tax returns–which represents over 45% of US taxpayers who would be eligible for auto-filing. A survey...
Infographic - Qualifying for the R&D Tax Credit
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Debunking Tax Code Myths
Everyone has advice for startup founders during tax season; here are some facts vs. fiction of the R&D tax credit. You’re feeling unsure if you should be studying up on tax credits. Tax season is always overflowing with things to do, and you’ve had friends, fractional CFOs, and others...
Which States Offer the R&D Tax Credit
Learn about the State R&D Tax Credit, which States offer it, and if your Startup qualifies. We first built Neo.Tax because we saw that far too many innovative startups were failing to claim the money they were owed via the Federal R&D Tax Credit. Today, we’re excited to announce...
A 1981 Tax Law means AWS Costs are a Tax Credit
When Ronald Reagan signed the Economic Recovery Tax Act of 1981 into law, businesses quickly jumped to take advantage of the new tax break that let them lease or rent computers. At the time, computers were prohibitively expensive, which made them impossible to own for all but the largest corporations...
"Audit Protection" is Not What it Seems
The prospect of “audit protection” is enticing for customers but, in reality, it’s actually a costly trap. Our Co-Founder and Chief Tax Officer Stephen Yarbrough spent seven years auditing R&D Tax Credits at the IRS. He explains why we decided not to offer “audit protection” at neo.tax: It’s not surprising...
Checklist for Maximizing Your R&D Tax Credit in 2022
Overview of the credit R&D credit eligibility is much easier to qualify for than many startups may think. It can apply to product development, as well as to general operations such as new product development processes, software development, and other related quality improvement activities. Your organization could be eligible for...
Does my Startup Qualify for the R&D Tax Credit?
What is the R&D Tax Credit? The research and development (R&D) tax credit is tax legislation passed to incentivize American companies to invest in innovation.More than $12 billion worth of R&D tax credits were claimed in 2014, but a significant portion 0of that money went to Fortune 500 companies. Congress...
Neo.Tax Recommends AbstractOps
At Neo.Tax, we believe in the power of well-designed tech-powered tools to streamline the life of a founder. Our R&D Tax Credit solution was built with the belief that disruptive companies deserve the chance to be innovative (and deserve the thousands of dollars they’re owed). People don’t build startups to…
Six Essential Tax Tips for Your Tech Startup
Founders are driven to create the future, to disrupt a broken system, or to make something new out of whole cloth. It’s not surprising then that for most of them, tax season — with its archaic rules and tedious paperwork — is the worst part of the year. Luckily, we...
The New Way to Finance Your Startup
Early stage start-up founders need to evaluate a multitude of options when deciding how to fuel their growth. While venture capital is the typical route founders take, fundraising through this way is often time consuming and expensive from an equity and company control perspective. Typically, the alternative then is to...
We Can Help Extend Runway During COVID-19
At this historic and destabilizing moment, the need to save money and extend runway is more important than ever for startups. At neo.tax, we’ve built a tax tool that can instantly begin helping you weather the storm. Our automated service completes the R&D tax credit in minutes, saving startups up...
Why We Automated Tax Season
There are scores of things that humans can still do better than computers. But mechanical computers were specifically built to crunch numbers and they’ve only widened the gap on humans in the almost hundred years since. These machines, at their core, are created to demolish problem-sets of rules and numbers....