If you’re looking for details about tax credits 2021 and beyond, this article will help you. Some may be a long shot, while others could bring you big savings. Here are four types of deductions you could qualify for…
The List Of Tax Credits You Should Know About
Managing taxes is one of the most tedious things about running your own business. You must spend so much time dealing with complicated tax forms and all you seem to get at the end is a big tax bill.
The problem is, if you don’t get your taxes right, you could end up wasting a lot of money or even getting a big fine. You can avoid any major disasters by following these simple tax tips. But if you really want to make savings, you need to claim all of the tax credits that you are entitled.
There are many common tax credits that you probably already know about. However, there are some that businesses don’t typically have on their radar. You could be missing an opportunity if you are not claiming all eligible tax deductions.
This article will cover some of the lesser-known deductions your business may be able to claim. Is your business missing out on these tax credits?
Alternative Fuel Credits
Alternative fuel credits encourage businesses to invest in other fuel sources apart from oil.
The government is trying to reduce reliance on oil and move towards more sustainable options. These tax credits are available to any business that is involved in the production of fuels, and you will get tax credits for producing fuel sources like biodiesel.
Research And Development Tax Credits
Research and development tax credits are designed to encourage innovation that a lot of businesses don’t realize apply to them. Many people assume that it’s only companies in the science and technology sector that qualify. But that isn’t the case.
Whenever a company develops a new product, they are potentially developing new technology, and they might qualify for a tax credit. If you visit Tri-merit.com, you can find more details about whether you meet the specifications.
This is a potentially very large tax credit, so it’s important that you check whether your business is eligible for a tax savings.
Alternative Motor Vehicle Credit
If you use vehicles for business purposes, you will want to know about the Alternative Motor Vehicle Credit.
This is an $8,000.00 credit to encourage businesses to purchase vehicles that use sustainable fuel. It includes vehicles that use biofuels, not hybrids or electric vehicles.
Although the list of vehicles that qualify is still very small at the moment, it’s worth considering, especially as the qualifying vehicles list expands in the future.
Disabled Access Credit
Making your business accessible to people with disabilities is important, though many small companies struggle with the cost. The good news is, you can get a disabled access credit if you have a total revenue of less than $1 million and have fewer than 30 employees.
This tax credit will cover up to 50% of your costs, up to a total of $5,000.00. Patriotsoftware.com has more information on the requirements.
It’s worth checking whether your business is eligible for these tax credits because you could save yourself a lot of money.