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Costing R & D Projects
We determine and document how much money was actually spent on each R & D project. This involves allocating salary costs and direct and indirect overhead, and determining the usage of materials, supplies, and equipment using cost accounting and corporate accounting systems.
We can prepare or review the project costings and provide assistance capturing the costs efficiently. This process requires a detailed knowledge of income tax because certain costs are not eligible for an R&D claim. Other costs (particularly overhead costs) can be taken at a set 65 percent of direct costs, which is usually better than a specific apportionment.