Process and Procedures Investments - How to Get Money Back

In September 2004, President Bush signed the $146 billion tax cut bill restoring the recently expired business Research & Experimentation Tax Credit. The 18-month renewal of the research and experimentation tax credit, which expired June 30 2004, was the most expensive item with an expected $7.6 billion cost through 2014.

Process Improvement Qualifies

If you are spending money on ISO 9000, six-sigma, lean manufacturing, TQM, or any other initiative focused on improving your products or processes, then you could qualify. This includes software purchases, training courses, labor, and of course the purchase of any Policies, Procedures and Forms products or services.

An Immediate Source of Cash

This is an actual dollar-for-dollar tax credit against your tax liability and not a deduction. You can deduct all costs in the year incurred. And better yet, these regulations are retroactive, which means you can get a refund for previous years.

Requirements to qualify

If you fit these five basic requirements for research, then you might qualify under the latest regulations.

1. New or Improved Product, Process or Software. Research must derive ways to improve a product or process such as development or improvement of a formula, invention or technique.

2. Technological. Research objective must be to discover technological information, based upon principals including computer science or engineering.

3. Research Involves Uncertainty or Risk. It must involve uncertainty or risk associated with the design or method of design achievement, not including general business risk.

4. Experimentation Process. It must be well-documented and include failed and successful efforts.

5. Permitted Process. Activity for product or process improvement must relate to a function, performance, reliability or quality.

Your Tax Credits are Waiting for You

There is no better time to obtain ISO auditor training, well-defined process training, business process consulting, or to get the maximum value out of a helpful key like the Management Procedures Value Series. Tax credits may expire again later in 2005, so act before it is too late.

Chris Anderson has over 18 years of sales, marketing and business management experience working with business process design, software and systems engineering. He is also co-author of policies and procedures manual products, producing the layout, process design and implementation to increase performance. He is currently the Managing Director of Bizmanualz, Inc. Visit: http://www.bizmanualz.com

In The News:
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Three Business Lessons From The US Postal Service

There was a buzz in the air recently about the... Read More

Talent Recruitment Challenges of High Technology Companies

As a result of the dot com meltdown and the... Read More

What to Do When Trust is Low

Trust is essential. You can't run a business without it.... Read More

Five Habits of Highly Effective Conflict Resolvers

Steven Covey had the right idea. There are discreet skills... Read More

What Consultants Want You to Know (But You Never Ask)

I've been both a CEO and a consultant, so I've... Read More

Innovation Management ? how will we make the go or kill decisions?

Creativity can be defined as problem identification and idea generation... Read More

Problems with Group Decision Making

DECISION BY AUTHORITY RULE: Many groups start out with-or quickly... Read More

Do Customers Like the Feel of Your Organization?

In two recent articles "Some Evidence of How We Are... Read More

Three Professional Services Resolutions for 2005

With client expectations higher than ever before, and the gradual... Read More

Qualities of a Great Manager

In the call center environment we are often only as... Read More

Whatever it Takes!

I have a sign on my office door. It pretty... Read More

Managing After Downsizing

So, you survived the downsizing. Your company did something that... Read More

Turbo Charge Your Career With The Most Powerful Leadership Tool Of All: The Leadership Talk Part 3

To develop and deliver a great Leadership Talk, you must... Read More

10 Fool Proof Ways To Intensify Your Profits

1. Create benefit intensifiers for your list of ad copy... Read More

The Seven Cs: Partnership Danger Signs - Conflict Becoming the Norm ? Part 1

A series of articles exploring the seven critical areas that... Read More