How do R&D tax credits apply to engineering firms?

R&D tax credits for engineering firms apply by rewarding innovation and problem-solving efforts in designing, developing, or improving products and processes. These credits cover eligible expenses such as wages, materials, and software used in research activities. Engineering firms often qualify for R&D tax credits through projects like prototyping, process optimization, and implementing new technologies. By leveraging these credits, firms can reduce tax liabilities, reinvest savings into operations, and stay competitive in their industry