IRS Section 41

IRS Section 41, also known as the Research and Development (R&D) tax credit, provides tax incentives for businesses that invest in innovation. This section allows companies to claim a credit based on their qualified research expenses, encouraging them to develop new products, processes, or technologies. Eligible expenses can include wages for employees involved in R&D, costs of materials used in the research, and certain contract research expenses. The goal is to stimulate economic growth by fostering innovation and making the U.S. more competitive in technology and advancements.