Tax

Businesses with research and development (R&D) activities may have new tax planning opportunities to consider. Recent tax law changes have restored immediate expensing for many domestic R&D costs, but that is only part of the story. Depending on the business, there may be multiple ways to approach R&D tax benefits, and the decisions made today could affect tax savings and cash flow for years to come. Since the credit can lead to significant savings for those with eligible R&D activities, now is the time to revisit this incentive.

Manufacturing leaders are under pressure to improve throughput, manage labor shortages, reduce downtime, and remain competitive in a changing operating environment. As automation conversations accelerate across the industry, many companies are taking a closer look at how automation may affect operations before committing capital to a major investment. That evaluation process often begins with an automation ROI analysis.

In February, the Supreme Court ruled that the International Emergency Economic Powers Act (IEEPA) tariffs enacted in early 2025 could not remain in effect. That ruling did not automatically trigger refunds. However, the Court of International Trade (CIT) later ordered that eligible importers receive refunds of those duties plus interest, setting off one of the largest customs refund efforts in recent history. 

Georgia lawmakers adjourned the 2026 legislative session after approving a series of tax changes affecting both income and property taxes. The package lowers the state income tax rate, limits how quickly home values can increase for property tax purposes, provides one-time rebates, and temporarily suspends the state gas tax. This is welcome news for many Georgia taxpayers that have been expecting relief. Portions of the legislation are already in effect, and others are expected to be finalized soon.

Georgia’s annual conformity bill, HB 1199, was signed into law on March 20, 2026, during the 2025 filing season. The bill updates how the state of Georgia will treat recent federal tax law changes, including provisions in the One Big Beautiful Bill Act (OBBBA). Georgia adopted some of those changes, but not all. As a result, some 2025 Georgia returns may differ from the federal return. Taxpayers who have already filed this year may need to revisit those returns, while others will need to apply the new rules as they complete tax filings and plan for the year ahead.

On February 20, 2026, the Supreme Court ruled that the International Emergency Economic Powers Act (IEEPA) cannot be used to impose tariffs. The Court of International Trade subsequently ordered Customs and Border Protection (CBP) to issue refunds of those tariffs with interest, and CBP is now building a system to process claims. Businesses that were the importer of record may be eligible to recover those amounts, but businesses that purchased goods from a domestic supplier or distributor are generally not eligible. CBP has said the process involves more than $166 billion in duties collected from at least 330,000 importers.

The One Big Beautiful Bill Act (OBBBA) restored 100% bonus depreciation on a permanent basis for qualified property acquired after January 19, 2025. That change is especially important for businesses that make capital investments, including equipment purchases, facility improvements, and construction projects. Later, the IRS released Notice 2026-11 to explain how taxpayers can apply the revised rules. For business owners, the guidance clarifies the timing rules, elections, and other details that can affect eligibility and help businesses maximize the benefit of bonus depreciation.

The IRS has finalized instructions for Form 6765, the form businesses use to claim the federal R&D tax credit under Section 41. The credit rules have not changed, but the updated form requires more detail across key areas, with staggered implementation dates. The IRS says the added disclosures are intended to increase transparency and help identify higher-risk claims. For business owners, the R&D tax credit is still a valuable opportunity; however, the updated form will likely require more careful record-keeping and coordination.

Georgia’s 2026 legislative session began on January 12 and runs for 40 legislative days. Lawmakers are deciding how to use about $14 billion in reserves and surplus funds. Proposals on the table include another round of taxpayer rebates, income tax cuts, new limits on property tax increases, and changes to sales tax exemptions for data centers. The outcome will affect what residents and businesses pay in taxes and what resources the state has to fund services. To help clients, prospects, and others, Wilson Lewis has summarized the key details below.

The IRS has released Notice 2026-11, clarifying how 100% bonus depreciation works under the One Big Beautiful Bill Act (OBBBA). The interim guidance outlines the timing rules, available elections, and the types of property that qualify now that the full deduction is back in place. These issues are particularly important for any business investing in equipment, upgrading facilities, or managing multi-year projects. This guidance will ensure businesses can take full advantage of this compelling tax savings tool.