For the Accountant

RIX® Technology provides an exciting opportunity for public accounting firms that want to expand their services to taxpayers seeking R&D tax credits under Federal IRC §41 and State Research Tax Credit programs (which are widely available).

Utilizing RIX® Technology you can provide clients with an exceptional quality of service and a great value for services provided in this specialty area, while retaining a high level of participation to optimize their client’s tax planning. RIX® Technology offers many advantages to the public accounting practice.

RIX® Technology Benefits for the Accounting Firm

• More competitive fee structure with increased value.
• Long term contracts.
• Increased client participation.
• Improved continuity of documentation.
• Greater durability of credits under review (leading to improved client relations).
• Improved utilization of Research Credit resources (personnel).
• Opportunity for expanded services (i.e. Management Metrics, IP control) with RIX® technology.
• Marketing leverage for other services to LMSB.
• Competitive Advantage.
• Greater credibility with IRS.

The RIX® Technology utilized an IRS approved system for web-based documentation of Research Tax Credits that has been in use by a major U.S. corporation under a formal IRS Research Credit Recordkeeping Agreement since 2006.

RIX® (for Resource Information Xchange) is an interactive, web-based information management system that provides easy-to-use, activity-based information requests, facilitates uploading and storage of relevant contemporaneous documentation, and streamlines the review & analysis of information gathered. The primary functions of the application provide an interactive Research Credit knowledge exchange for the taxpayer; allow remote reporting of Research Credit data by the taxpayer; analyze, test and document qualified activity and financial information; and facilitate remote Research Credit review by IRS. RIX® Technology provides a valuable conduit for the client to ask real-world questions and evaluate the credit worthiness of individual activities or projects to maximize tax credits. It is a great system that was proven very successful in its initial implementation.

For detailed information contact: info@rixtechnology.com or 206.855.1700

Why does the taxpayer need RIX® Technology?
Continuous, regular, contemporaneous reports with RIX® Technology result in more inclusive identification of activities, greater accuracy in related expenditures and clarity of information. For the taxpayer this increases credit amounts, simplifies documentation and review, limits reduction of credits by IRS review.

• Efficient Research Credit data collection.
• Reduction of personnel time for data collection.
• Minimal training requirements.
• Reduced impact of personnel turnover on Research Credit data collection.
• Improved continuity of records.
• Minimal personnel participation in audits.
• Increased Research Tax Credits from increased availability of Research Credit information (interactive Q&A and FAQ data).
• Increased Research Tax Credits from improved recordkeeping.
• Expansion of Research Credit opportunity.
• Simplified IRS audit process.
• Durable Research Credits.
• Reduced total cost for Research Credit benefits.
• SOX benefits
• Systematic process.
• Improved recordkeeping.
• Greater certainty of Research Credit retention under IRS review.
• Availability of accurate Management Metrics for R&D efforts.
• Greater internal visibility of Intellectual Property information.
• Forum for periodic posting of critical information to development personnel.

RIX® Technology is an exciting new product for our clients. It allows us to provide a high quality of service to clients with a value conscious fee structure. Certainty and value are great combinations that make the §41 and State Research Tax Credit accessible to many more business qualified for the credit that cannot or do not currently utilize it.

The Research Tax Credit has been available since 1981. Over $9,000,000,000 of §41 Research Tax Credits benefits are given out annually. Historically a high percentage of this benefit goes to a few of the nation’s biggest companies with huge legal and accounting resources. This is not what Congress intended.

Why should IRS approve of RIX® Technology?

• Contemporaneous recordkeeping for Research Credit qualification.
• Greater continuity of Research Credit activity and expenditure data.
• Improved quality of Research Credit records.
• Improved compliance.
• New levels of efficiency as remote review of Research Credit data during audits reduces travel expense, decreases audit schedules, expands availability of Research Credit specialist personnel and minimizes impact of audits on taxpayers for improved taxpayer relationships.

For the IRS the review process for Research Credits is inefficient and expensive in IRS personnel time and travel expense. The inefficiency of the review process limits the total number of reviews that occur, restricts to availability of IRS specialists for support or advisory functions and is disruptive to the larger audit process.

RIX® Technology allows new levels of efficiency as remote review of Research Credit data during audits reduces travel expense, decreases audit schedules, expands availability of Research Credit specialist personnel and minimizes impact of audits on taxpayers for improved taxpayer relationships.