Life Sciences and Healthcare
One way Texas is able to foster a competitive advantage and continue to create much needed jobs is by investing in life sciences and healthcare. The impact the biopharmaceutical sector has on the economy is continuing to grow and investment, along with the support of the R&D credit, is essential to support that growth.
Research and development is important for the future of healthcare, but it’s also vital if America wants to remain competitive in this industry. Investing in medical innovation and research offers long term benefits to the people in the US and around the world, and to the success of the American economy. The biopharmaceutical sector is one of the few areas of economic growth, highlighting the need to further invest and innovate. In addition to the research and development investment it’s also important to continue educating the young in math and sciences as this is of paramount importance to future innovations and the economy.
The Government is Behind Research and Development
One of the ways the government works to show their support for R&D in the life sciences and healthcare is through the R&D tax credit. The credit has been made friendlier to this area of research and development, yet many businesses fail to put in their clam for the tax incentive. Worries about the calculations, misunderstandings regarding the qualifying expenses and concerns over investigations from the IRS are holding the sector back. To try and encourage more businesses to take full advantage of this credit the government has tried to make it easier to understand. Business owners and entrepreneurs focusing on developing new research, processes and products will continue to boost the economy and make America competitive globally.
Are You Eligible?
Many firms are failing to recognize the expenses they’re able to offset against the tax credit. As a result there has been a decline in the applications for the tax credit in recent years. Swanson Reed is able to assist you when reviewing your eligibility. Here is a list of some of the initiatives that may be eligible:
- Developing the processes for new products such as clinical testing phase of clinical trials, FDA qualifications and validation
- Manufacturing process scale up design and developments
- Manufacturing experimental qualifications in clinical trials
- New production lines and factories used for new technology
- Product improvements to improve the shelf life of products, reduce the side effects, the stability of the product and the dosage
- Supporting new product developments through biometric analyses
Establishing the costs behind R&D can prove to be difficult, mainly because many companies fail to set up a project accounting system that is able to capture all of the expenses provided by the various personnel that are involved in the R&D process.
We have the professionals available to assist you with your R&D claim. Our accountants and specialist team are able to come into your organization and ensure you have the accounts set up to enable you to make the appropriate claims, ensuring you get back the money you need to continue your own research and development.