Tax Point Advisors Announces Newly Improved R&D Credits in Tennessee

June 2, 2011 - PRLog -- Tennessee is yet another state that has recently reformed its tax credit legislation to increase its incentive pool in an effort to make Tennessee more attractive to economic development as well as make businesses accountable for the incentives received.

The provisions of the bill include:

An expansion of the state’s $5,000-per-job tax credit, originally designed for businesses creating at least 100 new jobs, to now include businesses creating as few as 50 jobs at a reduced rate of credits
Tax credits currently available for businesses opening a new headquarters facility with an initial investment of $10 million and 100 new jobs has been revised to include businesses expanding an “existing” headquarters
Businesses that do receive these various tax credits and incentives are subject to audits to ensure they actually meet the criteria specified in Tennessee law. Those businesses not in compliance will be subject to a clawback, a return of the incentive dollars or tax credits provided by the state
Tennessee allows “qualified business enterprises” a credit against their franchise and excise taxes based on their capital investment and the number of jobs created. The amount of the credit and the period of time during which it can be used varies according to the size of the investment.

Qualified business enterprises can include:

Manufacturing
Warehousing and distribution
Processing tangible personal property
Research and development
Computer services
Call centers
Qualified data centers
Headquarters facilities
Convention or trade show facilities
Repair service facilities for aircraft owned by unrelated commercial, foreign or government persons

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Tax Point Advisors assists CPA's & their clients in identifying & capturing their maximum R&D tax credits. WE HAVE A 100% SUCCESS RATE, NEVER HAVING HAD A CLAIM DENIED. 1 (800) 260-4138, www.taxpointadvisors.com