Swanson Reed’s Academic Research

TaxTrex was the result of academic research published in The Tax Advisor into the R&D claim process. It was designed specifically to help accountants and their clients document the R&D process in line with the requirements of the IRS and recent case law.

The R&D Tax Credit requires the taxpayer to document the experimental process and the new knowledge generated. These strict requirements have increased the administrative burden of the entire R&D process.

TaxTrex was designed to provide a simple and systematic alternative for companies wishing to claim. Three surveys, completed in real-time, prompt the taxpayer to document the following information:

  • The level of knowledge at the commencement of the project
  • The new knowledge generated through experimental activities and their outcomes
  • That the purpose of all activities was to generate new knowledge
  • The relationship between the R&E activities and any directly related activities.

Each of the items above has proven to be essential to any R&D Tax Credit claim.

This research was published in a leading tax journal, The Tax Advisor.