Partners Barry A. Fischman and William R. Kuhlman wrote about how changes to Research and Development expense rules impact contractors, for Surety Bond Quarterly.
Surety Bond Quarterly
By Barry Fischman, Partner, Tax & Business Services & William Kuhlman, Partner, R&D Tax Credits Leader
The Tax Cuts and Jobs Act (TCJA) of 2017 made the R&D credit even more lucrative by providing contractors potentially larger credits for tax years ending after December 31, 2017. However, the TCJA also contained a punitive provision with a deferred effective date that eliminates the current deduction for research and experimentation costs (R&E costs).