R&D Tax Credits - Software Developer

Software Developer

Client Profile
A software development company located in Kentucky specializes in building and configuring comprehensive hardware and software solutions using blockchain technology. The company was acquired during the process of performing the study, so it was critical that our team communicate with new ownership to ensure the client kept credit rights for 2021.

Process
The client approached McGuire Sponsel’s R&D Tax Credit team to do a full study to determine R&D tax credit amount and qualified expenses. Our team conducted remote fieldwork which consisted of individual interviews with qualified employees, and was able to use computer leasing costs as a qualified expense for the credit.

Study Results
For the study, overall federal QREs totaled over $500,000 resulting in a federal credit of $44,650.