With over 30 years of experience, the professionals at Mueller Prost are uniquely positioned to provide business solutions for craft brewers.  We provide a vast array of services to craft brewers including traditional financial statement and tax compliance work, tax planning, and business consulting.  To learn more about these services, click here.

Additionally, our professionals can help craft brewers take advantage of tax savings opportunities such as the Research & Experimentation (R&E) Tax Credit.  

Research & Experimentation Tax Credits for the Craft Brewing Industry
Breweries are constantly improving products and processes to stay competitive. Activities may include experimenting and innovating to create new flavors, package design, shelf stabilization techniques or implementing advanced technology to improve processes. Investments made in these areas may be eligible for the R&E tax credit.

  • What is the R&D Tax Credit?
    The R&E tax credit is a dollar-for-dollar credit against the taxpayer’s federal income tax liability.Taxpayers may benefit from both the deduction in the year the expenditure is paid or incurred and by claiming the research tax credit. In addition, some states offer a state R&E credit.

    Brewers must meet four basic requirements to qualify.

  • How Can Craft Breweries Benefit?
    Potentially qualifying activities include:
    • Developing or improving yeast strains
    • Developing new or improved hop varieties
    • Developing or improving hopping techniques
    • Improving the fermentation process
    • Improving keg filling or treatment techniques
    • Developing or improving water recycling or waste management processes
    • Testing new product flavors or enhancements
    • Developing or improving ingredient processing techniques
    • Improving filtration methods
    • Improving ingredient mixing methods
    • Developing new or improved keg filling techniques
    • Developing or improving bottle, can and/or crown designs
    • Developing or improving prototype batches
    • Improving preservative chemicals
    • Developing or improving formulations
    • Adding new equipment for process improvement
    • Testing of new or improved product designs to ensure consistency
    • Testing shelf life of new or improved product designs
    • Testing of product ingredient mixtures for flavor or aroma profiles

Other Opportunities for Craft Brewers
Brewers may also benefit from Export Incentives (IC-DISC), Tangible Property Regulations, Manufacturer’s Deductions (DPAD) and Hiring Incentives (WOTC). Learn more here.

In addition the services listed above and traditional financial statement and tax compliance work, our team is adept at tax planning and business consulting for craft brewers, including the following areas:

  • Benchmarking
  • CFO Consulting Services
  • X-Vision®
  • Cost Segregation Studies
  • Business Valuations
  • Succession Planning
  • Advanced Tax Planning
  • And more!

For more information about services for Craft Brewers, contact Michael Devereux II, CPA, CMP or Tim O'Neill, CPA at 314-862-2070.

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