security system installation

How Innovation in Security Integration Can Be Recognized and Incentivized

Many security solutions providers are redesigning and upgrading systems every day. It’s time for them to be rewarded with the R&D Tax Credit.

When it comes to creating safe environments, any compromise is unacceptable. The fastidious job of designing, programming and installing security systems is not one to be taken lightly, as one security solutions provider working with alliantgroup knows all too well.

The company was recently tasked to wholly redesign six new security systems for a local elementary school. And while the sensitivities surrounding the need for better security measures in schools may be obvious, the sophisticated upgrade required the company to go through an iterative design and testing process to make sure every security system worked together in case of an emergency—all while meeting client and code requirements. This included the design, installation and programming of a control access door, wireless doors, intrusion, intercom, visitor management and camera systems.

The nuances behind this type of work, let alone the reasons behind why the innovations are so important, are exactly the type of behavior that the government wanted to incentivize when they created the Research & Development Tax Credit, also known as the R&D Credit.

The R&D Credit was enacted in the late 1980s in order to encourage domestic corporate innovation. The credit became permanent in 2015 after the passage of the Protecting Americans from Tax Hikes Act, and despite its place in our intricate tax code, qualifying for the credit is more straightforward than companies usually think.

Although it often is the case with the work of security system integrators, qualifying activities for the credit do not necessarily need to be incredibly complex. In order to qualify for the incentive, a security system integration firm simply needs to invest its time, money and resources into the advancement or improvement of one of its products or processes.

A company that qualifies for the credit through a qualifying research activity (QRA) can potentially receive a credit in the amount of a percentage of its qualified research expenditures (QREs) that are directly associated with the identified QRAs.

Simple enough. But how can security integrators specifically make use of the credit through its research and development activities? Whether it is the design of an auto-lock door, the development of a multi-channel alarm system or the testing of communication tools, a security integrator’s practice is more than likely to qualify.

Although the process can be straightforward, many companies are still hesitant to claim the R&D Credit. This particular security solutions provider, for instance, was hesitant during the beginning portions of their first R&D study regarding how they would even qualify, but alliantgroup’s engineers and technicians were performing research and development every single day.

The security solutions provider described above had no idea that evaluating different cameras and camera locations to achieve the appropriate angle and coverage, a common task for their security integrators, would be a qualifying activity for the R&D Credit.

These are the stories that were intended to come out of enacting the R&D Credit. Reinvestment, innovations and progress. Security system integrators are dealing with life or death matters, and it’s time that the work that they put into their craft is rewarded with reinvestment in their efforts.

About the Author

Tracy Lustyan is a Managing Director for alliantgroup based in Chicago.

Featured

  • Gaining a Competitive Edge

    Ask most companies about their future technology plans and the answers will most likely include AI. Then ask how they plan to deploy it, and that is where the responses may start to vary. Every company has unique surveillance requirements that are based on market focus, scale, scope, risk tolerance, geographic area and, of course, budget. Those factors all play a role in deciding how to configure a surveillance system, and how to effectively implement technologies like AI. Read Now

  • 6 Ways Security Awareness Training Empowers Human Risk Management

    Organizations are realizing that their greatest vulnerability often comes from within – their own people. Human error remains a significant factor in cybersecurity breaches, making it imperative for organizations to address human risk effectively. As a result, security awareness training (SAT) has emerged as a cornerstone in this endeavor because it offers a multifaceted approach to managing human risk. Read Now

  • The Stage is Set

    The security industry spans the entire globe, with manufacturers, developers and suppliers on every continent (well, almost—sorry, Antarctica). That means when regulations pop up in one area, they often have a ripple effect that impacts the entire supply chain. Recent data privacy regulations like GDPR in Europe and CPRA in California made waves when they first went into effect, forcing businesses to change the way they approach data collection and storage to continue operating in those markets. Even highly specific regulations like the U.S.’s National Defense Authorization Act (NDAA) can have international reverberations – and this growing volume of legislation has continued to affect global supply chains in a variety of different ways. Read Now

  • Access Control Technology

    As we move swiftly toward the end of 2024, the security industry is looking at the trends in play, what might be on the horizon, and how they will impact business opportunities and projections. Read Now

Featured Cybersecurity

Webinars

New Products

  • ResponderLink

    ResponderLink

    Shooter Detection Systems (SDS), an Alarm.com company and a global leader in gunshot detection solutions, has introduced ResponderLink, a groundbreaking new 911 notification service for gunshot events. ResponderLink completes the circle from detection to 911 notification to first responder awareness, giving law enforcement enhanced situational intelligence they urgently need to save lives. Integrating SDS’s proven gunshot detection system with Noonlight’s SendPolice platform, ResponderLink is the first solution to automatically deliver real-time gunshot detection data to 911 call centers and first responders. When shots are detected, the 911 dispatching center, also known as the Public Safety Answering Point or PSAP, is contacted based on the gunfire location, enabling faster initiation of life-saving emergency protocols. 3

  • 4K Video Decoder

    3xLOGIC’s VH-DECODER-4K is perfect for use in organizations of all sizes in diverse vertical sectors such as retail, leisure and hospitality, education and commercial premises. 3

  • Luma x20

    Luma x20

    Snap One has announced its popular Luma x20 family of surveillance products now offers even greater security and privacy for home and business owners across the globe by giving them full control over integrators’ system access to view live and recorded video. According to Snap One Product Manager Derek Webb, the new “customer handoff” feature provides enhanced user control after initial installation, allowing the owners to have total privacy while also making it easy to reinstate integrator access when maintenance or assistance is required. This new feature is now available to all Luma x20 users globally. “The Luma x20 family of surveillance solutions provides excellent image and audio capture, and with the new customer handoff feature, it now offers absolute privacy for camera feeds and recordings,” Webb said. “With notifications and integrator access controlled through the powerful OvrC remote system management platform, it’s easy for integrators to give their clients full control of their footage and then to get temporary access from the client for any troubleshooting needs.” 3