Issue link: http://palletcentral.uberflip.com/i/1370374
28 PalletCentral • May-June 2021 palletcentral.com Jill Neuvirth is President of Monetek. Monetek offers companies of all sizes a unique mix of expertise to maximize their tax credit opportunity. Contact Jill at 248-982-7646, or visit www.monetek.com. Documentation is Key Documenting potentially qualifying expenditures is the key to claiming the R&D tax credit. It's important to document the entire process, to show costs by project, and to establish a nexus between qualifying activities and expenditures. Examples of documentation may include: n Time tracking and project tracking n Product or project specifications, descriptions or proposals n Support for supplies and materials used in the conduct of research n Contracts with consultants and customers n Email communication If your company is engaged in any of the above activities, you may be able to claim the R&D tax credit. If your goal is to improve operations with technology now or in the future, an R&D tax credit professional experienced in wood packaging can help you to understand how to document your R&D efforts. Be sure to contact your tax adviser to determine if you are eligible for the R&D tax credit. While there's no question that large, Fortune 500 companies account for a significant portion of the overall research performed and the credit dollars claimed each year, it's important to note that the R&D credit isn't limited to large companies with established R&D departments. Contact your tax advisor to learn more specifics about your eligibility for R&D tax credits, and visit the IRS website – http://bit.ly/2jBSbj3 – for tax tips on research and development for manufacturers. Eligible small businesses, defined as those with average sales of less than $50 million over the prior three tax years, will be able to use the credits to offset the Alternative Minimum Tax (AMT) for tax years beginning after December 31, 2015.