What counts on your jobs
Work you already bill for- Design-build HVACDesigning the mechanical system for a building or a process.
- Load and energy modelingSizing equipment and duct against calculated loads and energy targets.
- Sheet metal and pipingDeveloping fittings, hangers, and assemblies for an awkward space.
- Controls and sequencesWriting and testing sequences of operation and building automation.
- Routing and coordinationFinding a path for duct and pipe through a crowded building, then revising it.
- Retrofit and replacementFitting new equipment into a building that wasn't built for it.
- PrefabricationDeveloping racks and assemblies you build in the shop and install once.
- Commissioning and balancingTesting a new system, finding what fails, and fixing the design.
The four questions, for mechanical contractors
§41's four-part test- Did you design a system new to your company?It doesn't have to be new to the trade.
- Did it take real know-how?Airflow, heat, and pressure: your designs rest on thermodynamics and fluid mechanics.
- Were you unsure at the start?Will it hold setpoint? Will it fit above the ceiling?
- Did you try options to find out?Load calcs, BIM clashes, and revised routing are exactly that.
Unsure about any of these? That's what the call is for. The four-part test in plain English
Mechanical contractors ask
We install from the engineer's drawings. Do we qualify?
Plan-and-spec installation rarely does. Design-build, design-assist, controls, custom packages you design yourself, and the problems the drawings leave open do.
Does residential replacement work count?
A like-for-like swap doesn't. A job where you designed the system, solved the airflow, or fit equipment into a space it wasn't made for can.
Do our shop detailers' hours count?
Yes, when their detailing and fabrication work solves a technical question on a specific job.
Most of our work is fixed price. Does that matter?
It can. A set price counts when you only get paid if the design works and you keep the right to reuse what you learned. The contract decides, so the study reads it. Paid by the hour until it works, the work usually doesn't count, so the study reads the contract terms.
We send fabrication out to another shop. Does that hurt?
Not when the design is yours. If the shop builds from your drawings and you pay to redraw and remake a part that doesn't fit, your design work still counts.
We redesign on site when the space doesn't match the plans. Does that count?
Often, yes. When moving one wall two inches means reworking everything around it, working that out is the trial and adjustment the credit pays for.
The owner does most of our design. Do those hours count?
Yes. An owner's wages count like anyone else's for the time spent designing, drawing, or leading the technical work.
Filing, how far back, exams, and costs: common questions.
For your CPA: where the credit goes on Form 1120, 1120-S, 1065, or 1040.
Give us thirty minutes.
Bring whoever runs your design-build and shop work. You'll leave knowing whether your jobs qualify.
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