Environmental engineering firms develop innovative solutions to protect people and resources. They do this by assessing challenges and devising solutions that ensure clean water, clean energy, and healthy environments, just to name a few. Investments made in research and development (R&D) in these areas and many others can be claimed with the R&D Tax Credit.
Employee wages, raw materials and supplies, and third-party contractor costs associated with R&D activities are considered qualified research expenses (QREs). Companies can receive refunds of up to 22% of total QREs through federal and state tax credits, depending on the state in which your business operates.
Examples of qualifying activities:
- Conducting environmental impact studies
- Designing new processes to treat hydrocarbons, ammonia, and/or other compounds
- Implementing soil remediation plans for radioactive and/or carcinogenic materials
- Designing flare systems for oil and gas facilities
- Integrating toxic waste disposal designs into an existing structure
- Designing novel water treatment capabilities that optimize efficiency
Do you have these job titles on your payroll, or do you hire third-party contractors to do these jobs?
- Computed-aided design (CAD) Engineers
- Energy/Carbon Consultants
- Environmental Engineers
- Environmental Specialists
- Project Managers
- Water Project Managers