The SMART Business Incentives Program has become the secret weapon for thousands of organizations across the US. Our clients using the program are greatly improving CASH FLOW, ROI AND ASSET VALUE all at the same time, with ease. As a busy CPA, CEO, CFO or Controller, it’s almost impossible to keep up on the daily pressures of running a growing organization, let alone staying on top of the ever-changing tax laws, new tax credits, incentives as well as specialty cost recovery / containment opportunities that can make a real impact on the bottom line.
Research & Development Tax Credits
If a company has invested time, money and resources into the advancement and improvement of the company’s product or processes, then it’s likely that the organization qualifies for the Federal R&D Tax Credit Incentive Program. However, many firms are unaware of how to qualify or what to even qualify for, so the opportunity goes unclaimed.
While more than 14,000 U.S. companies claim federal R&D credits annually, less than 33% of companies that qualify for the credits apply for them.
THE R&D TAX CREDIT OPPORTUNITY:
- A hidden and immediate source of cash for many small and mid-size companies
- A significant reduction to current and future year’s federal and state tax liabilities
- Over $5 Billion in federal R&D tax credit benefits are given out annually
- Approximately 80% of the $5 Billion goes to a few of the nation’s largest companies
EXPORTING INCENTIVES (IC DISC)
IC-DISC is the last remaining export incentive available to U.S. exporters. It has been around in its current form since 1984, but IC-DISC did not become popular until the Jobs and Growth Tax Relief Reconciliation Act of 2003, which lowered the capital gains tax rate and thereby made it more attractive for exporters.
The different entity types that can use the IC-DISC include flow-through entities (S-Corps, partnerships, LLCs, etc.) and closely-held C-Corps. Additionally, it’s important to note that a company does not have to be the manufacturer of any products to take advantage of IC-DISC, but that the company exports domestically produced products.
Ideal industries to take advantage of the IC-DISC include, but are not limited to, manufacturing, distributors, software, engineering and architectural firms working on buildings/structures in foreign locations and more.
Work Opportunity Tax Credit
If an organization is hiring 100 new employees or more each year, then they may benefit from having a CORE WOTC Study performed. Originally designed to assist our Military Veterans in finding work when they returned home from overseas, the Working Opportunity Tax Credit (WOTC) is a dollar-for-dollar tax credit that provides $3,000 –$9,000 per employee hired.
The Work Opportunity Tax Credit (WOTC) is open to any tax paying company in the 50 United States, U.S. Virgin Islands and Puerto Rico, and specifically, it is a federal program that provides tax incentives to employers for hiring and retaining individuals from targeted groups. To claim the credit, an employer must identify a potential hire as an eligible member of one of the targeted groups on or before the day of the job offer.
CORE assists businesses in obtaining the maximum amount of credits, and our advanced platforms make the process both simple and efficient. After identifying a new hire as potentially eligible through a screening process that is fully-integrated within a company’s applicant tracking system or on-boarding process, the information is then populated onto the required Form 8850 and can then be electronically signed. The documentation is then submitted to the state workforce agency and diligently followed-up on the certification status.
Real Data in Real-Time
The CORE platforms provide HR professionals with real-time data to make important decisions. Additionally, the system dashboard is mobile friendly, now giving HR and Financial executives the power to pull reports from anywhere and view important data in seconds
CORE’s dynamic solutions give companies the ability to make real-time decisions while simultaneously tracking their tax credits.
|Targeted Groups||Maximum Credit Available|
|SNAP (Food Stamp) Recipients||$2,400|
|Long-Term Family Assistance Recipients (LTFAR)||$9,000|
|Long-Term Unemployed (LTU)||$2,400|
|Vocational Rehabilitation Agency Referral||$2,400|
|Designated Community Residents||$2,400|
|Supplemental Security Income Recipients||$2,400|