Tax and credits concept. Getting refund from the income tax return. Calculator, glasses and black pen on financial documents in the background.Now that the year is half over (crazy, isn’t it?), you may want to think about 2016 taxes if you haven’t already. The Research and Experimentation (R&E) tax credit is often overlooked by manufacturers who tend to think this credit is for ground-breaking innovation or inventions. Many companies don’t realize some of their efforts, time, and resources could be used to reduce their tax burden. Mold and tool development, prototype production, and pre- production set-up are common areas used for computing the credit.

A program coming this Fall, hosted by Northwest Industrial Resource Center (NWIRC) and NWPA National Tooling and Machining Association (NWPA-NTMA), will feature the R&E Tax Credit team from McGill, Power, Bell & Associates. The session will provide information manufacturers need to take advantage of this benefit, including 1) an overview of the R&E tax credit for federal and Pennsylvania purposes; 2) recent regulatory changes, including the credit being made permanent and the ability to apply the credit against AMT (alternative minimum tax); 3) key factors of determining whether or not a job qualifies for the credit; 4) documentation requirements; and more.

It may still be summer, but now is a good time to start thinking about whether you might benefit from the R&E Tax Credit. Mark your calendar for one of the sessions to learn more about the specifics and have an opportunity to ask the experts. The program will go from 8:30am-10:30am and several sessions are planned for the region, including:

October 4th (Hermitage)
October 20th (Erie)
November 10 (Meadville)

Click on one of the above dates for more details and to register.