Software Developers

HomeIndustries – Software Developers

Need Help Getting Caught Up?

Reach out to our team to put together a discovery call. We can help get your business back on track!

Cut-out of Jacob Braschwitz pointing up.
Bookkeeping Services

$500-3,000

per month

We provide our clients with live books and timely month end close.

Our Services for Software Developers

At Bennett Accounting & Tax LLC, we specialize in providing tailored financial services to software development businesses, helping them navigate the complex financial landscape of the tech industry. Our comprehensive bookkeeping, payroll, and tax preparation services—combined with expertise in Section 174 capitalization and the R&D Tax Credit—offer significant benefits to software developers looking to optimize their finances and focus on innovation.

Maximizing the R&D Tax Credit

The Research & Development (R&D) Tax Credit is a powerful tool for software development businesses, offering significant tax savings for qualifying activities. Our firm helps businesses:

  • Identify Qualifying Expenses: We analyze your projects to determine which activities qualify for the R&D Tax Credit, including software development, innovation, and process improvements. By accurately documenting these activities, we ensure you can take full advantage of the credit.
  • Detailed Documentation Support: Proper documentation is critical for maximizing the credit and defending it in the event of an audit. We work with your team to maintain clear records of qualifying R&D expenses, including wages, materials, and contract research costs.
Ezry Bennett in a meeting with a client.

Navigating Section 174 Capitalization

The recent changes to Section 174 require software development companies to capitalize and amortize their R&D expenses rather than immediately deducting them. We provide expert guidance in navigating these changes:

  • Comprehensive Cost Allocation: We help businesses identify which R&D costs are subject to capitalization under Section 174. This includes development costs related to software, salaries of engineers and developers, and other qualifying expenditures. Proper allocation of these expenses is crucial for compliance.
  • Amortization Planning: Section 174 requires the amortization of R&D costs over a five-year period for domestic research and a 15-year period for foreign research. Our firm develops amortization schedules that align with these requirements, ensuring your financial statements and tax filings remain accurate and compliant.
  • Strategic Tax Planning: The shift from immediate deduction to amortization under Section 174 can impact cash flow and tax liability. We work with software development businesses to minimize the impact of these changes, helping them implement strategies that balance compliance with tax efficiency.
Ezry Bennett and Jacob Braschwitz in a meeting.

Bookkeeping and Payroll Services

Beyond the R&D Tax Credit and Section 174 capitalization, our firm also offers comprehensive bookkeeping and payroll services to ensure the financial health of software development businesses:

  • Accurate Financial Tracking: We maintain precise records of all income and expenses, ensuring compliance with accounting standards while providing insights into project profitability.
  • Efficient Payroll Management: Our payroll services handle the complexities of multi-state teams, remote workers, and contractors, ensuring that employees are paid accurately and on time while maintaining compliance with tax laws.

By partnering with Bennett Accounting & Tax LLC, software development businesses gain a trusted financial advisor who understands the intricacies of their industry, ensuring compliance with Section 174 capitalization, maximizing R&D Tax Credit benefits, and streamlining financial operations. This allows business owners to focus on innovation and growth, knowing their financial foundation is solid.

Free Discovery Meeting!

We're taking on new clients!

If you’re looking for a Certified Public Accountant to provide tax preparation, bookkeeping, or payroll services, we’re here to help!

Let’s figure out if we’re a good match for one another.

Please enable JavaScript in your browser to complete this form.
Name
We can prepare your taxes remotely using our secure portal. If you select "individual taxes" or "business taxes", we can use this information to invite you to our secure portal and begin the preparation process. If you do not receive a response from us with in 4 days of submission, please reach out via phone or email.
Our Services

Exceptional Quality in Accounting and Tax

Assistance with accounting and taxes ensures that tax obligations are met while maximizing your financial efficiency for small businesses, individuals, and large corporations alike. Below are some of the avenues where our team can help your business find success.

Bookkeeping

Our outsourced bookkeeping can help you track and save costs for your growing business.

Payroll

Our team can help ensure your employees are paid on time, every time.

Personal Taxes

Our tax planning and preparation services can help you save more with less worry.

Business Taxes

Our team can help ensure your employees are paid on time, every time.

Tax Planning

Our team can help forecast your tax bill and put together a plan to keep it as low as possible.

Trust & Estate Taxes

If you're in need of financial statements to present to lenders, we've got you covered.

Business Planning

Not sure how to start, grow, or sell your business? We can help walk you through the process.

Tech Consulting

Let us help you set up your new tech stack to optimize business operations.

Comprehensive Tax Planning

We help clients from all across the United States plan ahead for tax season. If you’re looking to minimize your tax liability and avoid overpaying the IRS, we’re ready to help.

Contact us now to discuss your tax situation with a Certified Public Accountant (CPA).

Cut out image of Thomas Julien Mackerty with their arms crossed.
Hear What Our Clients Have to Say

Our Client Testimonials

We assist clients in a wide range of industries at different stages of their lives and businesses. Below are some of the clients our practice continues to support to this day.

It's reassuring to have such reliable and personable professionals handling my financial matters.

Serif Krkic Owner, Zel Lifestyle Collective

Attentive, personable, honest, and truly caring about our product. I highly recommend this team!

Lisa Petrarca-Gamido Director, The MODE

They guided me through the whole process, and took care of me very professionally. Highly recommend.

Youssef Barakat Owner, Sentinel Health Insurance