How Your Startup Can Take Advantage Of The R&D Tax Credit
Summary: For founders, innovation is a necessity, but the financial burden of R&D activities can feel prohibitive when determining where to allocate funds. The R&D tax credit is a valuable tool designed to alleviate some of these costs.
April 25, 2025–The R&D tax credit can help startups recover part of the cost of developing or improving products, software, and technology. In an article for Crunchbase News, Burkland Head of R&D Credits & Incentives Sam Leon explains how eligible early-stage companies can apply the credit against up to $500,000 in payroll taxes annually, even before they become profitable. He also outlines how to identify qualifying activities and expenses, meet the IRS’s four-part test, and maintain the documentation needed to support a claim.