The United States of America filed a recent lawsuit against a Texas-based R&D tax credit study provider’s client to recover more than $600,000 plus interest in previously assigned tax credits
According to court documents, the District Court ruled that there was no evidence that the R&D firm had engineers, chemists, or anyone with meaningful scientific experience or training on staff, or that skilled or knowledgeable individuals conducted the study, did any investigation, or rendered conclusions for the client. Additionally, the U.S. Court document, “Proved convincingly that the R&D provider’s work and resulting report were fundamentally flawed and unreliable.” Continuing, the Court said, “Performance of the engagement consisted largely of the R&D staff conducting superficial on-site meetings with personnel from the client’s businesses and reviewing various records of the companies.” continue reading…
