Research and Development Tax Credits
The R&D (research and development) tax credit is often the most powerful tax incentive available to construction contractors. It was introduced in the 1980’s by Congress primarily for technological research. The definition of what qualifies as R&D has changed and expanded significantly and now is available to many industries, including construction.
When you think of activities which may qualify as research and development, some think of lab scientists inventing new products. For the construction industry, you are improving processes and creating new products regularly which are considered research and development and could qualify for valuable, government-endorsed tax incentives.
