Software is dramatically transforming every area of modern life. In the span of a few decades, software has grown from mere projects of curiosity within the world’s largest firms to having a dominant position in virtually every industry and field. This dominance has led to equal levels of competition, as seemingly modest differences in the quality of the code transform into enormous variances in the output. For all of these reasons, software has a special place in the R&D Credit ‘spectrum,’ and InnovaTax has extensive history with software development, varied coding systems / languages, and development procedures.
Many of the activities that software companies engage in can be used to generate tax benefits, including:
Marketed Software Products / Apps
Software features that are sold, licensed, or otherwise made commercially available, are among the most highly benefitted industries by the R&D Credit. The basic additive nature of coding lends itself to the general requirements of the R&D Credit well.
Many software users have different or varying needs from core software platforms. Modifications and additions to these systems often qualifies.
Most consumer goods today come with firmware that controls and manages it. This firmware has expanded dramatically in recent years, and many products are themselves controlled by powerful computer systems.