Common questions
Filing, lookback, exams, costsWhich form does the credit go on?
Form 6765, filed with your return. It then carries onto Form 3800 with your other business credits. Your CPA files it; our Form 6765 guide and Form 3800 guide walk them through both.
How far back can we claim?
Usually the past three tax years, by amended return, plus the current one. Wait, and the oldest year expires.
What happens if the return is examined?
If the IRS asks, we answer. The people who wrote the study defend it, and that support comes with every study.
What costs count?
Mostly wages: the people doing the work and the people directly supervising or supporting it. Part of what you pay U.S. contractors counts too, along with supplies and cloud computing used up in testing.
What records do we need?
The ones you already keep: project files, drawings or specs, test results, and payroll. We interview the people who did the work to fill the gaps, so nobody has to rebuild timesheets.
How much of the work do we do?
Very little. One call to pick the projects, a short interview with whoever did the work, and an upload of records you already have. Nobody digs through 2023 by hand.
Do state credits apply too?
Many states have their own R&D credit on top of the federal one. Where yours does, the study covers it.
Can a company with little or no income tax use it?
Often, yes. Newer companies can apply part of the credit against payroll tax, and credit you can't use yet carries forward for up to 20 years.
What qualifies depends on your trade. Find your industry brief, or read the four-part test in plain English.
Give us thirty minutes.
Bring whoever knows the technical work. You'll leave knowing whether you qualify.
Book a call Or write to inquiries@thefoundryfirm.com