KPMG article: IRS keeps focus on R&D tax credit even as agency staff shrinks
High-level overview of current trends and challenges in IRS examinations related to the R&D credit that underscore the continued need for robust studies.
The credit for increasing research activities (R&D credit), which was established to encourage research spending in the United States, will remain a priority for the IRS even after the tax agency grapples with a significant reduction in force.
The R&D credit’s enforcement has been undergoing changes, some of which are detailed in the IRS Office of Chief Counsel’s memo regarding R&D credit refund claims, subsequent updates to the refund claim procedures, and changes to the Form 6765, which is used to calculate the R&D credit. Those developments, coupled with the recent structural changes within the IRS, have created challenges of which taxpayers should be aware.
Read a January 2026 article* prepared by KPMG LLP tax professionals that provides a high-level overview of current trends and challenges in IRS examinations related to the R&D credit that underscore the continued need for robust studies.
* Reproduced with permission. Published January 5, 2026. Copyright 2026 Bloomberg Industry Group 800-372-1033. For further use please visit https://www.bloombergindustry.com/copyright-and-usage-guidelines-copyright/