Parma R&D Tax Advisors

R&D Tax Credit Services for Parma, Ohio Businesses

Parma’s industrial base is broader than many realize. From precision machining and component fabrication to food processing equipment, light manufacturing, automation, and production engineering, Parma companies solve technical challenges every day. Much of this work qualifies for the federal Research and Development (R&D) Tax Credit even without a formal research lab.


Since 2004, RCG has completed over 25,000 R&D studies and identified more than $750 million in federal and state tax savings. Our CPAs, engineers, and technical analysts focus exclusively on R&D Tax Credits and Cost Segregation Studies. Parma businesses rely on RCG for accurate, compliant, audit-ready documentation prepared for their CPA.



Many small and mid-sized companies assume only large corporations qualify for R&D incentives. In reality, Parma’s machine shops, fabrication plants, engineering groups, and automation teams regularly perform technical work that meets IRS guidelines. RCG identifies these activities and documents them clearly for accurate filing.

What the R&D Tax Credit Is

The R&D Tax Credit rewards technical problem-solving. Companies do not need a laboratory or dedicated R&D department. Qualifying work often includes:


  • Refining manufacturing steps to improve throughput
  • Developing prototypes or custom tooling
  • Testing materials, coatings, or performance characteristics
  • Integrating automation or updating software systems
  • Reducing waste, energy usage, or cycle time
  • Improving product durability or reliability


If your Parma team applies engineering, math, or computer science to eliminate uncertainty, you may be performing qualified research.

Reduced tax liability: Qualified research expenses create federal and when eligible, state tax savings.

Improved cash flow:  Credits may be available for up to three open tax years, creating retroactive value.

Payroll tax benefits for eligible startups: Certain younger companies may apply the credit against employer payroll taxes.

Support for innovation and process improvement: Testing, prototyping, engineering evaluation, and automation projects often qualify.

Recognition for technical advancement: The credit rewards the investment your team makes in problem-solving and development.

What the R&D Tax Credit Can Do for Parma Operations

Parma businesses routinely perform qualifying work while improving production systems, designing components, or refining equipment. This includes:

Developing better manufacturing fixtures or CNC programs

Improving material behavior or testing new alternatives

Enhancing automation or robotics integration

Refining product designs, tolerances, or reliability

Troubleshooting process bottlenecks

Optimizing food processing or packaging systems

RCG translates these technical activities into tax-compliant documentation for your CPA.

Sectors in Parma That Commonly Qualify

Parma’s industrial mix supports many qualifying activities, including:

Precision machining & fabrication

Metal stamping & component production

Industrial equipment manufacturing

Automation, controls & industrial software

Food processing & packaging equipment

Specialty manufacturing & prototyping

Eligibility depends on technical work performed, not industry size.

Who Qualifies for the R&D Tax Credit

Parma companies often qualify when they perform:

Prototype development or redesign

Testing performance, durability, or reliability

CAD modeling, simulation, or design analysis

Modifying tooling or equipment to meet new tolerances

Developing or improving automation, PLC logic, or software

Trial runs to refine parameters or reduce defects

Material evaluations or formulation adjustments

RCG assesses your activities against IRS expectations to determine eligibility.

Steps to Claim Your R&D Tax Credit

  • 1. Identify qualifying activities

    RCG reviews engineering, production, testing, and development work.

  • 2. Gather supporting documentation

    We assist with collecting technical notes, testing records, payroll data, and expense details.

  • 3. Document qualifying projects

    Using CrediTrak, RCG creates structured technical summaries explaining uncertainty and experimentation.

  • 4. Evaluate qualified research expenses

    We review wages, supplies, and contractor costs tied to qualifying activities.

  • 5. Deliver audit-ready documentation

    Your CPA receives a complete, compliant filing package.

  • 6. Provide clarification if needed

    If taxing authorities request more information, RCG responds using the report created during your engagement.

IRS Requirements (Four-Part Test)

IRS Requirement Meaning
Permitted Purpose Work aims to improve function, performance, reliability, or quality.
Elimination of Uncertainty A technical question must be resolved method, capability, or design.
Process of Experimentation Evaluation of alternatives through testing, modeling, or prototypes.
Technological in Nature Based on engineering, computer science, mathematics, or physical sciences.

Documentation & Support

RCG prepares:

Project descriptions

Technical narratives

Qualified expense records

Engineering and testing details

If the IRS or state tax authorities request information, RCG provides clarification using the documentation produced during your study.

How RCG Works With Your Parma Team

Initial Review – We learn about your operations and identify qualifying work.

Technical Discussions –  Engineers and specialists gather project information.

CrediTrak Documentation –  We organize activities and expenses clearly.

Deliverables for Your CPA –  A complete audit-ready package is provided.

Ongoing Support –  RCG responds to any follow-up questions.

Common Misconceptions

“We do not have a research lab.”

 Most qualifying work occurs on the production floor or in engineering offices.


“We are not a high tech company.”

 Manufacturers, machine shops, and automation firms qualify frequently.


“We only improve existing products.”

 Improvements qualify when technical evaluation is involved.


“We already do this work, so it probably doesn’t count.”

 Testing, troubleshooting, and experimenting often qualify.

Why Parma Companies Work With RCG

RCG combines tax expertise and engineering insight. We understand how Parma manufacturers solve technical problems whether through machining, automation, fabrication, or equipment design. Our role is to translate this work into clear, IRS-supported documentation.

Start Your R&D Tax Credit Review

If your Parma business is developing, refining, testing, or improving products or processes, you may qualify for the R&D Tax Credit. RCG evaluates your technical activities and prepares the documentation needed for accurate filing.

Frequently Asked Questions

  • Are Parma manufacturers strong candidates?

    Yes, machining, tooling, stamping, automation, and component development often qualify.

  • Do software or automation firms qualify?

    Yes, PLC programming, system integration, and internal software development frequently involve technical experimentation.

  • Do process improvements qualify?

    Yes, enhancing efficiency, reliability, or quality often meets IRS criteria.

  • Do we need a new product?

    No, improving an existing product or process can qualify.

  • What documentation is required?

    Engineering notes, testing data, payroll records, project summaries, and qualified expense information. RCG prepares the full audit-ready package.

Our Serving Area

RCG assists clients in identifying and documenting available adoption assistance tax credits throughout the state of Ohio.