IRS Exam Team Directives for Auditing 41 R&E Claims

The IRS has recently issued a new audit technique guideline for activities under Section 41 (LMSB-04-0508-030). This guideline outlines a number of areas with which the IRS exam team has been given a directive on auditing Section 41 R&E claims. In this edition of the BCP newsletter we’ll summarize a few of the key areas […]

Renewable Energy – Research and Development Possibilities

Investment in alternative fuels and the continued development of renewable generation sources is ever increasing. In 2004, reported by a Worldwatch Institute report, the global investment in renewable energy hit a record $30 billion, accounting for 20-25 percent of all investment in the power industry. With political and global warming concerns that investment will continue […]

March 2008

R&E Engineering Background & Substantiation How many of you have had challenges addressing the IRS’ need for technical, engineering discussions regarding research activities? If you answered “Me!” you’re not alone. Recent times have demonstrated that some IRS exam teams are basing their positions on what appear to be unreasonable and often times incorrect engineering assertions. […]

February 2008

New Nuclear Plants Technology Investment Series – Chapter 2 Click here for: Chapter 1 Explosive Growth Potential in Nuclear New Nuclear Plants are being proposed and applied for by a number of Electric Utilities (over 17 total today) both with and without nuclear experience. Through January 24, 2008, twenty-one new unit applications have been applied […]

January 2008

New Nuclear Plants Technology Investment Series – Chapter 1 We hope you and your families had a wonderful holiday season over the past few weeks and are off to a great start to 2008! In late 2007 we initiated this monthly newsletter release and are planning on continuing in 2008. We are always interested in […]

December 2007

Proposed Technical Tax Corrections Limit Qualified Energy Research Credits In the Tax Technical Corrections Act of 2007, technical corrections are being proposed with respect to a number of Acts and Legislation going back to 1998 and includes the Energy Policy Act of 2006. The bill is being introduced as H.R. 4195 in the House of […]

November 2007

Section 41 and 174 Research and Development Ease the Burden of Documentation by Implementing and Standardizing a Front-end Data Collection Process In our October newsletter, we discussed the potential benefits of using the Simplified Alternative Credit calculation. Whether your organization moves in that direction or remains on the base year calculation method, improving the process […]

October 2007

2007 Tax Year Provides a Renewed Opportunity for taxpayers to Gain the Benefits of a Section 41 R&E Credit Claim Historically, some organizations have had difficulty tracking the information necessary to calculate and update the 1984 – 1988 base period calculation. This is often the case for organizations that have engaged in several acquisitions or […]