R&D tax credits are calculated based on calendar year wages or fiscal year wages/expenses?

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Based on client’s year end. If fiscal year you’ll need to deannualize the two years of wages and then reannualize for the FYE.

Also there is some sort of base period that you will need to calculate depending on the history of the company. Most companies utilize what’s called the ASC method which compares the calculation year to the three prior years

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