Business Owner? Tax Credits You Should Know this Season

If you own a business that designs, installs or builds, there are some tax credits out there you may want to look into.

Tax experts say many business owners don’t take advantage of the credits, because they often feel they won’t qualify.

Tax experts say business owners should know that there are credits out there accommodating Fargo’s growing innovative nature.
 
Tax expert Kent Busek says the federal research and development tax credit often goes unnoticed.
 
“People, businesses, corporations, partnerships maybe eligible for this credit, but they just don’t realize that they are,” said Busek.
 
The credit is applicable for businesses that have innovative work practices.

Finding ways to make their line of work faster, better, or more efficient.

He says credit was extended by Congress, which has broadened many of the qualifications.
 
“A new piece of machinery, a new piece of equipment inventing something, but that’s not necessarily the case you can be modifying or changing a process,” said Busek.
 
For construction businesses, he says the rules qualifying for the energy tax credit have changed.
 
“Materials have got better, engineering has got better in the construction of apartment houses, and apartment units in this area. The buildings are qualifying with no additional cost,” said Busek.
 
He says the process starts with certifying.
 
“It’s about finding someone in the area that’s certified to test the property to see their energy efficient according to the IRS standards, and if so they get certified,” said Busek.

Busek says qualified businesses can receive up to  two thousand dollars per unit in energy credits, and up to 100 thousand dollars for the Federal Research credit.