Can Tool and Die Makers Qualify for the R&D Tax Credit?


OMA Connections Partner, Tax Credits Group, says it is often asked if tool and die shops can qualify for the R&D tax credit. The short answer—absolutely. The longer answer to whether your work is eligible for the R&D tax credit requires a deep dive into IRC § 41, which outlines a “4-Part Test” which all jobs or projects must meet to qualify for the credit. Here’s a look at each of these four parts as they relate to the tool and die Industry.