

Explore how a manufacturing client continues to find a large source of funding through the R&D Tax Credit.

We observed that most of the client’s contracts require it to design, test, and demonstrate multiple prototypes before a product is procured. This routinely puts them at economic risk since the prototypes can be rejected by the government. When this happens, the company must return to the drawing board. All the while, it maintains ownership of any intellectual property created to meet the customer’s requirements.

The client’s economic risk during the process, and its subsequent retention of IP rights to the technology created, qualifies many of their projects for tax credits. We helped them identify many eligible costs and helped them claim the R&D tax credit for the first time for years 2015 to 2018. This company’s Director of Finance said they “engaged with Leyton in early 2019 to build a case and establish eligible R&D tax credits, both historically and for the current year.” We continued to build a partnership by helping them claim the R&D Tax Credit for 2019 and 2020 as well. As a result of their R&D study with Leyton, our client has been able to claim $822,265 in R&D Tax Credits.