News & Events

Mandatory Capitalization of Research & Development Expenses

May 2022 Tax Update

Despite lobbying by many Fortune 100 companies and strong bi-partisan support to retain the deductibility of research and development (R&D) costs, 2022 brings an unexpected change for companies in the manufacturing, technology, SaaS, and life sciences industries. Those companies with significant R&D costs, including software development costs, will now be subject to mandatory capitalization, for U.S. tax purposes, as an intangible asset. This can have a significant impact on their 2022 financial statements and cash flows, as they will no longer be allowed to deduct those expenses in the year incurred.

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US Tax Corner

March 2022 Canadian Tax Update
  • US Tax Corner
  • Should you file if you can’t pay?
  • Convention Expenses
  • Computer Consultants
  • No Tax on Investment Income – Are you maxing out your TFSA?

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How Are Options Taxed?

  • How Are Options Taxed?
  • Donations Under Your Will or By Your Estate
  • Capital Dividends
  • Election For Dividends With Your Spouse
  • Trusts: Allocating Income To Beneficiaries But Taxed To Trust
  • Double CPP Premiums
  • Around the Courts

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