Recent News – Swanson Reed | Specialist R&D Tax Advisors

Senate Fails to Pass Bill to Reinstate R&D Deduction

Six months ago, we watched a bipartisan tax bill fly through the House with overwhelming support. Now, we’ve seen it fail in the Senate with a vote to end debate coming in at 48-44.

The Tax Relief for American Families and Workers Act (HR.7024), sponsored by House Ways and Means Chair Jason Smith (R-MO) and Senate Finance Chair Ron Wyden (D-OR), tied together three provisions. First, and most important to us, the bill would have revived expired tax provisions to reinstate R&D expense deductions. The other provisions included expanding the low-income housing tax credit, child tax credit, and cutting off the employee-retention tax credit.

On August 1, the Senate floor vote was held and only three Republicans voted in favor: Senators Josh Hawley (R-MO), Markwayne Mullin (R-OK), and Rick Scott (R-FL).

Senator Maggie Hassan (D-NH) has made clear her disappointment in the bill not passing and R&D deduction being passed over. She added “I am going to continue to work across party lines to pass my bipartisan measure to restore the full R&D tax deduction and cut taxes for hard-working families.”

Are you developing new technology for an existing application? Did you know your development work could be eligible for the R&D Tax Credit and you can receive up to 14% back on your expenses? Even if your development isn’t successful your work may still qualify for R&D credits (i.e. you don’t need to have a patent to qualify). To find out more, please contact a Swanson Reed R&D Specialist today or check out our free online eligibility test.

Who We Are:

Swanson Reed is one of the U.S.’ largest Specialist R&D tax advisory firms. We manage all facets of the R&D tax credit program, from claim preparation and audit compliance to claim disputes.

Swanson Reed regularly hosts free webinars and provides free IRS CE and CPE credits for CPAs. For more information please visit us at www.swansonreed.com/webinars or contact your usual Swanson Reed representative.

New ESIC Act to Bring Tax Credits to Clean Energy Innovation

Georgia Tech and NREL Will Collaborate on Energy Research

Energy innovators across the nation will delight to hear about the upcoming boost announced by Congress. This boost comes in the form of the Energy Sector Innovation Credit (ESIC) Act – a tax proposal which aims to encourage innovation specifically in the clean energy sector.The funding will offer incentives to those performing innovation, presented as tax credits, in an effort to bring their projects to the mass market.

As it is a tax credit, the amount you may be eligible to receive is proportional to the earnings of a project from market sales, helping to further remove the risk of technologies becoming over-reliant on tax credits to stay afloat. As your product scales up on the commercial marketplace, the credit slowly proportionally decreases. This method provides help when needed most, and fades out as the technology begins to stand on its own two feet.

In the press release following the bill’s introduction, Senator Crapo explains:

“ESIC will incentivize technology-wide clean energy innovation so new, clean technologies can rapidly scale up and compete independently in the market. Moreover, ESIC automatically scales down credits as technologies’ market penetration ramps up, so taxpayer dollars do not subsidize market-mature technologies. The U.S. is a leader in energy production because our robust economy allows for innovation and pathways to clean energy solutions…”

Are you developing new software for an existing application? Did you know your development work could be eligible for the R&D Tax Credit and you can receive up to 14% back on your expenses? Even if your development isn’t successful your work may still qualify for R&D credits (i.e. you don’t need to have a patent to qualify). To find out more, please contact a Swanson Reed R&D Specialist today or check out our free online eligibility test.

Who We Are:

Swanson Reed is one of the U.S.’ largest Specialist R&D tax advisory firms. We manage all facets of the R&D tax credit program, from claim preparation and audit compliance to claim disputes.

Swanson Reed regularly hosts free webinars and provides free IRS CE and CPE credits for CPAs. For more information please visit us at www.swansonreed.com/webinars or contact your usual Swanson Reed representative.

ECED Breaks Ground for Coal-Based Innovation

Energy Capital Economic Development (ECED) officially broke ground in Gillette, WY to construct the new Wyoming Innovation Center to support research in coal-based products. This innovation center will focus on finding novel, non-fuel, high-value coal-based processes and products.

ECED, along with Campbell County and the City of Gillette are putting their first major capital investment into this “Carbon Valley” ecosystem in the hopes of finding new uses for Campbell County’s Powder River Basin coal. These investments are combined with project grants from the Wyoming Business Council and the Economic Development Administration.

“[Coal] is our most abundant and readily available energy source, but we can use it for so much more – and that’s what the innovation center is about and the research we are doing here, […] that the City of Gillette will benefit from, and the international recognition that you are getting here is just extraordinary,” Wyoming Governor Mark Gordon said.

ECED believe this innovation center will provide a chance at true energy independence and innovation.

Are you developing new software for an existing application? Did you know your development work could be eligible for the R&D Tax Credit and you can receive up to 14% back on your expenses? Even if your development isn’t successful your work may still qualify for R&D credits (i.e. you don’t need to have a patent to qualify). To find out more, please contact a Swanson Reed R&D Specialist today or check out our free online eligibility test.

Who We Are:

Swanson Reed is one of the U.S.’ largest Specialist R&D tax advisory firms. We manage all facets of the R&D tax credit program, from claim preparation and audit compliance to claim disputes.

Swanson Reed regularly hosts free webinars and provides free IRS CE and CPE credits for CPAs. For more information please visit us at www.swansonreed.com/webinars or contact your usual Swanson Reed representative.

InVivo Biosystems to Aid in Anti-Ageing

Oregon-based InVivo Biosystems works to develop the technology to drive insights and decisions in biomedical research. Through the use of non-mammalian model organisms, they provide better understanding of results within pharmaceutical, nutraceutical, and biotech research. Recently, they have announced the launch of their new InVivo Longevity Platform which can analyze the effects of compounds on factors like lifespan, healthspan and transcriptional changes.

Their platform will aid anti-ageing product R&D. They continue to use non-vertebrate models and have worked with hundreds of clients in recent months to test their platform functionality. The platform helps firms assess the performance of their products by generating concrete efficacy data. It makes it easier to ensure accuracy, reproducibility, and robust conclusions by combining continuous automated data collection of lifespan metrics and genetic analysis. This rapid analysis can speed up assessment and product production, completing a project within five months. This speed and accuracy gives companies a greater opportunity to focus on products and formulations that have a real chance at success, rather than committing years to a product with no concrete evidence to support it.

InVivo’s platform will provide a way to address the product validation needs of the age-tech and longevity industry. Through analysis, it can inform product development teams on the impact of their compound on lifespan, activity level, and muscle use throughout senescence, and the underlying Mechanism of Action. Many clients rely on the service to help them find the best formulations and to substantiate product claims with real data.

Are you developing new technology for an existing application? Did you know your development work could be eligible for the R&D Tax Credit and you can receive up to 14% back on your expenses? Even if your development isn’t successful your work may still qualify for R&D credits (i.e. you don’t need to have a patent to qualify). To find out more, please contact a Swanson Reed R&D Specialist today or check out our free online eligibility test.

Who We Are:

Swanson Reed is one of the U.S.’ largest Specialist R&D tax advisory firms. We manage all facets of the R&D tax credit program, from claim preparation and audit compliance to claim disputes.

Swanson Reed regularly hosts free webinars and provides free IRS CE and CPE credits for CPAs. For more information please visit us at www.swansonreed.com/webinars or contact your usual Swanson Reed representative.

Alquist 3D to Test Additive Construction of Homes

Alquist 3D, an additive construction company, is focused on solving America’s housing shortage crisis. Their method involves designing dream homes at genuinely affordable prices. They have teamed up with the Virginia Center for Housing Research (VCHR) at Virginia Tech to design, build, and study a 3D-printed single family home – the first of its kind in the United States. This step has been made possible through a $500,000 Innovation Demonstration Grant from Virginia Housing.

The grant provided the funding to purchase a modular 3D printer – the BOD2 – which can be assembled in a matter of hours and requires just two construction workers to be present on-site during operation. This first test will be constructed using a concrete mix, but the open-source nature of the system means future homes can be constructed from more sustainable materials. This test run will print the exterior walls of a 1,550 sq ft, three-bedroom bungalow.

With the use of concrete, Alquist predicts initial savings of up to 15 percent-per-square-foot of building. Classic stick-built homes are facing massive cost increases as the pandemic has led to soaring lumber prices. The speed and efficiency of additive construction would only further reduce these costs and could produce a brand new home in 12 to 15 hours. Virginia Tech has built a proprietary Raspberry Pi-based smart home monitoring system that will be built into Alquist-built dwellings to monitor the indoor environment sensing (air quality, temperature, humidity etc.). This sensing system can contribute to long-term cost savings and efficiencies throughout owning the home.

Alquist is focused on applying this technology and these houses to build homes for people who live outside of the places where most funding for housing programs is spent. This focus is largely in rural areas, with a target construction price for similar style homes at $181,000.

Are you developing new technology for a new application? Did you know your development work could be eligible for the R&D Tax Credit and you can receive up to 14% back on your expenses? Even if your development isn’t successful your work may still qualify for R&D credits (i.e. you don’t need to have a patent to qualify). To find out more, please contact a Swanson Reed R&D Specialist today or check out our free online eligibility test.

Who We Are:

Swanson Reed is one of the U.S.’ largest Specialist R&D tax advisory firms. We manage all facets of the R&D tax credit program, from claim preparation and audit compliance to claim disputes.

Swanson Reed regularly hosts free webinars and provides free IRS CE and CPE credits for CPAs. For more information please visit us at www.swansonreed.com/webinars or contact your usual Swanson Reed representative.

New Mexico Supports R&D Through Science and Technology Grants

Five New Mexico companies are set to receive $25,000 each from the New Mexico Economic Development Department through their Science & Technology Business Start Up Grants. These companies were selected based on their high growth potential.

These grants are available for New Mexico-based companies that meet certain criteria including being for profit and employing fewer than 50 employees. They must be science and technology based in the areas of aerospace, biosciences, cybersecurity, intelligent manufacturing, and sustainable and green energy.

The five companies selected in this round were selected based on the provision of a unique product or service, a clear business proposition, and the demonstration of a scalable product or model that could provide an economic benefit to the state. These companies include:

Avisa Diagnostics USA
- Treatment of lung infections with rapid diagnostics to guide better clinical outcomes
EVUS
- Development of technology in support of water-based heating market and sustainable water treatment processes
iBeam Materials
- An intelligent manufacturing company working towards development of crystal-aligned coatings with ion-beam-assisted deposition
Osazda Energy
- Development of additives to help preserve solar panels to enhance sustainable energy possibilities
Pajarito Powder
- Manufacturing of advanced catalysts for PEM and alkaline fuel cells in electrolyzers

Are you developing new software for an existing application? Did you know your development work could be eligible for the R&D Tax Credit and you can receive up to 14% back on your expenses? Even if your development isn’t successful your work may still qualify for R&D credits (i.e. you don’t need to have a patent to qualify). To find out more, please contact a Swanson Reed R&D Specialist today or check out our free online eligibility test.

Who We Are:

Swanson Reed is one of the U.S.’ largest Specialist R&D tax advisory firms. We manage all facets of the R&D tax credit program, from claim preparation and audit compliance to claim disputes.

Swanson Reed regularly hosts free webinars and provides free IRS CE and CPE credits for CPAs. For more information please visit us at www.swansonreed.com/webinars or contact your usual Swanson Reed representative.

Stratodynamics Shows Pomise in Unmanned Aerial Turbulence Detection

Delaware-based Stratodynamics Inc. has finished a successful series of test flights that launched from Spaceport America earlier this month. Stratodynamics provides high altitude flight services for use in remote earth observations or in-situ monitoring. These platforms and observations are made with unmanned vehicles.

These successful tests were completed with their HiDRON – a balloon-launched glider vehicle. The tests showed successful high-altitude flights and a return back to earth once released. Researchers used these tests to assess the functionality and performance of the wind probe and infrasonic microphone sensor. These components were licensed from NASA’s Langley Research Center and help detect air turbulence for aerial vehicles. The tests showed successful capture of velocity, direction, magnitude, and low-frequency sound waves.

Presently, commercial aviation relies on meteorology and pilot reporting to predict and communicate turbulence to other piloted aircrafts. Stratodynamics is hopeful their HiDRON could fill gaps in turbulence detection methods, and provide a method for unmanned aircrafts to detect and communicate this turbulence.

Are you developing new software for an existing application? Did you know your development work could be eligible for the R&D Tax Credit and you can receive up to 14% back on your expenses? Even if your development isn’t successful your work may still qualify for R&D credits (i.e. you don’t need to have a patent to qualify). To find out more, please contact a Swanson Reed R&D Specialist today or check out our free online eligibility test.

Who We Are:

Swanson Reed is one of the U.S.’ largest Specialist R&D tax advisory firms. We manage all facets of the R&D tax credit program, from claim preparation and audit compliance to claim disputes.

Swanson Reed regularly hosts free webinars and provides free IRS CE and CPE credits for CPAs. For more information please visit us at www.swansonreed.com/webinars or contact your usual Swanson Reed representative.

BASF Committed to Hybrid Wheat

BASF Agricultural Solutions, who’s headquarters and innovation centers are based in New Jersey, have announced their new brand for hybrid wheat seeds – Ideltis. Ideltis signifies BASF’s commitment to transitioning wheat into long-term success with innovative hybridization.

While there already exist hybrids in a variety of crops, development and production of hybrid wheat seeds has been difficult and complex. Development of the technology that will support broad commercialization of hybrid wheat is just as crucial as the hybrid wheat itself. Ideltis has been working towards significantly increasing wheat yields. Success of these hybrids gives farmers new and promising seed choices that lead to more consistent quality and higher protein content.

At this point, they are hopeful that their hybrid wheat will be available by the middle of the decade. Their process to achieve this is based on primary R&D breeding stations and operations, a global trial network, and a team of experts focused solely on this task.

Are you developing new software for an existing application? Did you know your development work could be eligible for the R&D Tax Credit and you can receive up to 14% back on your expenses? Even if your development isn’t successful your work may still qualify for R&D credits (i.e. you don’t need to have a patent to qualify). To find out more, please contact a Swanson Reed R&D Specialist today or check out our free online eligibility test.

Who We Are:

Swanson Reed is one of the U.S.’ largest Specialist R&D tax advisory firms. We manage all facets of the R&D tax credit program, from claim preparation and audit compliance to claim disputes.

Swanson Reed regularly hosts free webinars and provides free IRS CE and CPE credits for CPAs. For more information please visit us at www.swansonreed.com/webinars or contact your usual Swanson Reed representative.

ForeverWare moves their Stainless Cast Iron Metal into Commercial Availability

After 8 years of intensive R&D, Tennessee-based ForeverWare Inc. has announced the commercialization of their corrosion-proof metal cookware. This process will begin with the availability of a 9-inch breakfast skillet made from their corrosion-proof Stainless Cast IronTM.

The process began in 2013, as they worked to find a new metal to replace cast iron in the cookware industry. They were influenced by work done by the DOE energy labs on superalloys which were intended for use in nuclear reactors. The next eight years focused on translating this metal into affordable, non-corroding cast metal.

The metal they developed has the same cooking characteristics of cast iron pans while removing the need to oil-season. Oil seasoning protects traditional cast iron from rusting, but the Stainless Cast IronTM is rust-proof. This advancement means you can easily clean and store this pan without the concerns seen in cast iron pans.

“Our team has accomplished an amazing result — one that will have broad effects across the cookware market as people begin stopping their purchase of cast iron products and shifting to buying Stainless Cast Iron™ products from ForeverWare. Lots of people like cooking with cast iron. But, nobody likes having to deal with seasoning and caring for and repairing cast iron pans.” says Scot Childers, ForeverWare’s CEO. Foreverware is set to begin a kickstarter to move this innovation into the market.

Are you developing new software for an existing application? Did you know your development work could be eligible for the R&D Tax Credit and you can receive up to 14% back on your expenses? Even if your development isn’t successful your work may still qualify for R&D credits (i.e. you don’t need to have a patent to qualify). To find out more, please contact a Swanson Reed R&D Specialist today or check out our free online eligibility test.

Who We Are:

Swanson Reed is one of the U.S.’ largest Specialist R&D tax advisory firms. We manage all facets of the R&D tax credit program, from claim preparation and audit compliance to claim disputes.

Swanson Reed regularly hosts free webinars and provides free IRS CE and CPE credits for CPAs. For more information please visit us at www.swansonreed.com/webinars or contact your usual Swanson Reed representative.

PowerTech Water has Successful Series B Funding

Kentucky-based startup PowerTech Water announced the close of their successful series B venture capital round led by HG Ventures. This funding will go towards meeting the rising demand for its sustainable industrial water treatment and expand operations in Lexington.

This water infrastructure company has developed innovative methods for heavy metal removal in wastewater and process water systems. These developments include their ElectraMet, which uses chemical-free carbon electrode technology to treat and purify industrial wastewater. This technology can reduce the labor-intensive, chemical-based water treatment systems which are known to produce massive quantities of waste. ElectraMet does not require chemicals or membranes and has a higher energy efficiency than traditional systems.

In May, PowerTech was awarded a Small Business Research and Development (SBIR) Phase I grant to focus on selective recovery of copper from industrial wastewater. Their systems are applicable across a variety of industries including mining and municipal water treatment. With this variety in use, PowerTech constantly works towards innovating selective treatment capabilities to better suit individual needs.

“We are excited to support Dr. Lippert and his team as they scale their business and establish themselves as a market leader in on-site water treatment”, said Ginger Rothrock of HG Ventures. “This team and technology solution are positioned to deliver automation, sustainability, and efficiency to a sector where innovation has lagged.”

Are you developing new software for an existing application? Did you know your development work could be eligible for the R&D Tax Credit and you can receive up to 14% back on your expenses? Even if your development isn’t successful your work may still qualify for R&D credits (i.e. you don’t need to have a patent to qualify). To find out more, please contact a Swanson Reed R&D Specialist today or check out our free online eligibility test.

Who We Are:

Swanson Reed is one of the U.S.’ largest Specialist R&D tax advisory firms. We manage all facets of the R&D tax credit program, from claim preparation and audit compliance to claim disputes.

Swanson Reed regularly hosts free webinars and provides free IRS CE and CPE credits for CPAs. For more information please visit us at www.swansonreed.com/webinars or contact your usual Swanson Reed representative.