What is the R&D Credit?

The R&D tax credit is a tax incentive provided by the US to incentive businesses to invest in research and
development activities. It is designed to promote innovation and technological advancement by reducing
the tax burden on companies that are engaging in qualified research activities.

What makes
a company eligible for the
R&D tax credit?

Only qualified R&D activities are eligible for tax credit, which must pass the IRS’s 4-part test:

What Industries Qualify?

Industry Examples of Qualified Activities
Manufacturing
Product development, process improvements, quality enhancements
Automotive
Designing and improving vehicle components, developing advanced safety features
Aerospace
Developing new aircraft technologies, improving aerospace systems
Electronics
Designing and improving electronic devices, developing innovative circuitry
Pharmaceuticals
Drug discovery, clinical trials, formulation development
Food Processing
Developing new food products, improving production processes
Software Development
Developing new software, enhancing functionality, algorithm development
Information Technology (IT)
Designing and developing innovative IT solutions, software architecture
Engineering
Creating new designs, developing prototypes, finding innovative solutions to technical challenges
Architecture
Innovative design solutions, sustainable building techniques
Construction
Developing new construction methods, optimizing building systems
Biotechnology
Genetic research, bioprocess development, medical device innovation
Life Sciences
Biological research, medical device development, clinical research
Chemicals
Developing new chemical compounds, improving manufacturing processes
Material Sciences
Developing new materials, improving material properties

What are the benefits?

How Finvisor can help?

FOR ANY QUESTIONS

CONTACT US

Finvisor HQ
48 2nd St, 4th Floor
San Francisco, CA 94105

440 N Barranca Ave
#3123
Covina, CA 91723

hello@finvisor.com

"*" indicates required fields

Details
Can Finvisor reach out to you via SMS?
This field is for validation purposes and should be left unchanged.
Skip to content