GeorgeM777
Expert Alumni

Deductions & credits

To follow-up on the comments from @KristinaK, you do have to reduce your expenses by the amount of the credit.  Without reducing expenses, a taxpayer would get the benefit of the R & D credit and also the expense deduction.  Accordingly, the IRS requires that Form 1120 reflect a reduction in expenses.  

 

@changbel

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