By Published On: August 5, 2022
Cleveland-based Tax Credits Group (TCG) is pleased to announce its membership to BioOhio.

TCG helps qualifying taxpayers take advantage of the Federal Research & Development Tax Credit, applicable state R&D Tax Credits, and the Federal Employee Retention Tax Credit (ERC).

Through the company’s R&D consulting practice, TCG works with many innovative companies within the manufacturing, high-technology and software development realm, including life-saving medical device manufacturers and cutting-edge health product companies located right here in Ohio.

“As a small Ohio business ourselves, we recognize how valuable an association like BioOhio is advancing forward innovative companies in this state”, said Michael Krajcer, TCG President.  “We are looking forward to becoming more involved with the bioscience and life science community and are excited to meet with fellow members in the weeks and months ahead.”

TCG has always served as an educational resource on the R&D tax credit, and throughout the years, has spoken on the benefits of it to numerous Ohio CPA firms and at industry trade shows and association events. This includes numerous speaking events for the Ohio Society of CPAs as well as live or virtual educational sessions for local associations such as PolymerOhio, BioEnterprise, MAGNET, Ohio Manufacturers Association and Northeast Ohio’s Regional Manufacturing Coalition and at local CFO Roundtable events sponsored by JP Morgan Chase.

“We know many eligible companies are either failing to take advantage of the R&D credit or failing to maximize the credit claims,” said Krajcer.  “We hope we are able to bring a greater sense of awareness on the credit to fellow BioOhio members, and welcome anyone with question to reach out to us directly.”

About the R&D Tax Credit:

For more than 40 years, the federal government has offered U.S. businesses a tax incentive to encourage domestic creation of new or improved products and processes. With this, the credit provides a dollar-for-dollar reduction to tax liability, increasing cash flow and operating capital.

The federal R&D tax credit can be used to reduce income taxes, and for certain eligible business, can also offset alternative minimum taxes and payroll taxes.  And, for innovative bioscience and life science companies located right here in Ohio, the state R&D Tax Credit can be used to reduce the Commercial Activity Tax (CAT).

About the Employee Retention Credit:

Originally enacted in 2020 as a provision of the CARES Act, the Employee Retention Credit (ERC) is a refundable payroll tax credit available to eligible employers who retained employees during the COVID-19 Pandemic, despite encountering economic hardship. This extends to full and or partially suspended business due to government orders, and or businesses that suffered a significant decline in gross receipts.

Through subsequent legislation including the Consolidated Appropriations Act (CAA), the American Rescue Plan Act (ARPA), and the Infrastructure Investment and Jobs Act (IIJA), the ERC was further expanded upon.

Today, under the culmination of these various Acts, an eligible employer can receive a maximum credit amount of $26,000 per eligible employee.

About the Author: Bethany Jones-Worner

Bethany Jones-Worner is Managing Director of TCG. With a decade of experience in Research and Development Tax Credit consulting, she’s helped her clients in the banking, software and manufacturing industries save millions.