Understanding the New Amortizations of 174 Expenses - How the R&D Credit Can Help

As many of you are preparing to file tax returns with the upcoming April filing deadline or on extension, understanding the implication of the changes to Internal Revenue Code Section 174 that took effect with tax year 2022 is critical. Most industry professionals were expecting this change to go away by now, but we must face the very real possibility that this change isn’t going anywhere anytime soon.

We will discuss the major changes, how to best prepare for the next 5 years, and how to mitigate the initial increase in tax liability in 2022.

If your company is part of the manufacturing, software & technology, engineering, or architecture industry, you likely have Sec.174 expenses to consider.

LEARNING OBJECTIVES

• Identify 174 expenses vs. R&D qualified expenses
• Understand Section 174 amortization and its impact on taxpayers
• Discover how to reduce the initial increase in tax liability
• Prepare for the next few years or for any reversal of the bill

Speakers :

John Allen, CPA – Director, Boyer & Ritter, LLC

Alexis Martin - CEO, EPSA USA

Jake Quast - Senior Manager, EPSA USA