THE APRIL 18TH TAX DEADLINE IS APPROACHING FAST
DON'T FORGET TO CLAIM YOUR R&D TAX CREDIT! BOOK A CALL TODAY
ATTENTION: THE APRIL 18TH TAX DEADLINE IS APPROACHING FAST - DON'T FORGET TO CLAIM YOUR R&D TAX CREDIT!BOOK A CALL TODAY
Status on R&D Capitalization Rules - Keeping it brief.
What? Potential changes to the R&D Capitalization rules
When? Wednesday, March 9, 2022
What should I know? The 2700+ page omnibus bill just dropped in Congress last night, March 8, and must be voted on before Friday, March 11 to avoid a government shutdown.
This bill could be the last best chance for lawmakers to repeal or delay the implementation of R&D Capitalization rules that went into effect on 1/1/2022. It has decent bipartisan support - and this bill is expected to pass without much debate as both sides want to get financial support for Ukraine out the door quickly.
Unfortunately, it appears that the R&D capitalization provisions were dropped from the bill at the last minute due to Progressive Democrats wanting to use business tax breaks as a bargaining chip to help them negotiate for extension of child tax credits and other relief to working families. There's still a chance that the R&D capitalization law will get repealed retroactively back to the beginning of the year, but we may not see that happen for at least a few more months.