Financial technology services, or FinTech, is an emerging industry that spans personal finance, consumer banking, wealth management, lending, and stock trading. As the demand for transparency and efficiency in finance grows, many companies provide their clients and investors with secure mobile apps and platforms. Your FinTech company may be eligible to claim the Research and Development (R&D) Tax Credit and increase its bottom line through significant reductions in federal and state tax liability.
Employee wages, supplies, cloud computer rental, and third-party contractor costs associated with research and development 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:
- Designing new data modeling applications
- Creating novel financial platforms or user-friendly interfaces
- Refining data mining techniques and conducting statistical analysis
- Testing and optimizing fraud detection systems
- Improving cybersecurity measures for existing applications
Do you have these job titles on your payroll, or do you hire third-party contractors to do these jobs?
- Compliance Managers
- Cybersecurity Experts
- Data Scientists
- Financial Analysts
- Full-Stack Software Engineers
- Machine Learning Architects
- Quantitative Analysts
- Software Developers
- User Interface/User Experience (UI/UX) Developers