KPMG Survey Results Show R&E Credit Not Successful
According to the survey, approximately two-thirds of those companies applying for the credit lose as much as 80 percent of the credit in part due to complications in gathering, identifying , and storing the proper documentation required for claiming the credit.
KPMG's Jim Eberle, partner in charge of the firm's R&E group, suggests that a technological-based solution that automates the necessary collection of data would aid tremendously in securing the proper credit for companies.
"Many R&E credit opportunities lie outside a normal research environment - for example, on a factory floor - making them difficult to uncover or document," Mr. Eberle said in a KPMG press release this week. Solutions such as just-in-time Web-based surveys or other automated processes "may be the best route for more organizations to take full advantage of this credit," he said.
Two-thirds of survey respondents agree. KPMG interviewed 175 corporate tax directors for the survey. Seventy percent of those surveyed responded that their companies have no Web-based information gathering tools in place to help with the R&E credit.