TAXTREX
An Official Swanson Reed Partnership | Automated Contemporaneous R&D Tax Credit Documentation Software
Proving research credit eligibility to tax authorities requires clear, contemporaneous evidence gathered while engineering occurs—not reconstructed months later. As a flagship technology partner within the Swanson Reed ecosystem, TaxTrex automates the collection, structuring, and qualification of R&D tax credit documentation in real time.
By combining TaxTrex’s automated project tracking algorithms with Swanson Reed’s technical R&D tax advisory and audit defense, we eliminate administrative burden for engineering and accounting teams. From capturing technical progress during active sprints to generating audit-ready claim binders, TaxTrex turns routine workflow data into defensible tax savings.
Empowering Innovators Through Four Core Pillars
Whether you are a software development firm, advanced manufacturer, biotech startup, or enterprise R&D department, TaxTrex provides the automated documentation framework needed to secure compliant tax credits:
1. Automated Real-Time Data & Project Capture
Reconstructing project details at year-end creates compliance gaps and diverts focus from core engineering. TaxTrex captures technical proof as work happens. Our platform integrates into existing technical workflows to record project milestones, technical challenges, and team participation automatically.
- Contemporaneous Tracking: Capture technical uncertainties, experimental trials, and project modifications during active development cycles.
- Low-Friction Surveys: Automated, periodic micro-prompts for technical leads that take minutes to complete while capturing essential statutory evidence.
2. Four-Part Test Qualification Engine
Evaluating raw technical data against IRC Section 41 statutory rules requires structured analysis. TaxTrex processes project documentation against the IRS Four-Part Test to confirm eligibility upfront.
- Objective Eligibility Scoring: Automated screening to verify Permissible Purpose, Technological Uncertainty, Process of Experimentation, and Hard Science foundation.
- Business Component Mapping: Aligning qualified technical activities directly with specific product lines, software builds, or process improvements.
- CCM Compliance Structuring: Organising claim data to meet IRS Chief Counsel Memorandum requirements (including IRS CCM 20214101F).
3. Qualified Research Expense (QRE) & Payroll Integration
Connecting technical project milestones with financial accounting data is critical for accurate credit calculation. TaxTrex matches technical activity directly with employee time allocations and supply expenses.
- Payroll & Time Tracking Alignment: Distributing qualified wage costs based on verified technical involvement rather than rough end-of-year estimates.
- Subcontractor & Supply Cost Allocation: Tracking third-party developer agreements and direct prototyping expenses to maximize eligible costs.
- Audit Trail Generation: Maintaining full traceability from raw general ledger line items back to specific technical project logs.
4. Seamless Swanson Reed Advisory & Audit Defense
Software automation delivers maximum security when paired with expert advisory. TaxTrex feeds clean, structured claim data directly to Swanson Reed’s tax attorneys and specialist engineers for final verification and audit defense.
- Audit-Ready Claim Binders: Instantly generating standardized technical and financial claim exhibits formatted for IRS or state revenue examiners.
- Complete Audit Shield: Full defense coverage backed by Swanson Reed’s legal and technical representation teams.
- Effortless Claim Scaling: Scaling tax credit claims year after year without increasing administrative overhead for your internal teams.
