R&D Tax Credit 2014 Update:
The Senate Finance Committee last week passed a tax extenders bill that included the R&D tax credit. The research credit would be extended under this bill for 2014 and 2015 and included a key aspect for flow through companies – the R&D credit could be used against individual AMT similar to the 2010 provision that allows flow through business owners and shareholders to utilize the R&D credit even if the individual falls under the AMT for 2014 or 2015.
This bill is a key step in getting the R&D credit extended much earlier than the historical 2 year extensions that typically don’t happen until after the elections in November.