Eligible Small Businesses May Be Able to Offset Part of a Manual ADA/WCAG Accessibility Audit
The federal Disabled Access Credit may allow eligible small businesses to claim a tax credit for qualifying accessibility-related expenditures. This page explains the general rule, how the credit is commonly calculated, and what documentation your CPA or tax advisor may want to review before determining whether your business can claim it.
This Is a Tax Credit — Not a Deduction. That Difference Can Matter.
A Tax Deduction
A deduction reduces taxable income. For example, if a business could deduct an $8,500 expense and the applicable marginal federal tax rate were 24%, the estimated federal tax reduction would be $2,040 before considering other limitations or tax treatment.
A Tax Credit (IRC §44)
A tax credit may reduce the amount of federal tax owed, subject to eligibility, qualified expenses, and other tax limitations. If an eligible business can claim and use a $4,125 Disabled Access Credit, the credit may reduce the effective federal cost of the qualifying expenditure by that amount.
How the Disabled Access Credit Is Calculated
The IRS allows eligible small businesses to claim 50% of qualified accessibility expenditures between $250 and $10,250 as a direct tax credit, with a maximum credit of $5,000 per year.
The Math for an $8,500 Audit
- Start with $8,500 in qualified accessibility expenses
- Subtract the $250 threshold → $8,250 in eligible expenses
- Multiply by 50% → $4,125 tax credit
- Subtract from audit cost → Net cost: $4,375
If the full expense qualifies and the business can use the full credit, the estimated effective net cost would be approximately $4,375 — subject to your CPA's review.
You Can Use This Credit Every Year
This isn't a one-time benefit. The cap is $5,000 per year, but there's no lifetime limit. Spend on the audit this year. Spend on remediation next year. Invest in PDF accessibility or staff training the year after. Each year's qualified accessibility expenditures generate a new credit claim.
Two-Year Example
Year 1: Spend $8,500 on the ADA Defense Audit. Federal tax credit: $4,125. Your net cost: $4,375.
Year 2: Spend $8,500 on WCAG remediation with your developer. Federal tax credit: another $4,125. Net cost again: $4,375.
Total federal tax benefit over two years: $8,250.
If eligible, accessibility investments can generate a potential multi-year tax benefit. Confirm each year's eligibility and treatment with your CPA.
Who Qualifies for IRC Section 44
Eligibility has two components. First, you must pass the size test — which requires meeting just one of two thresholds. Second, your expenses must qualify as accessibility expenditures under the IRS definition.
Size Test — Meet ONE of Two Thresholds
You qualify if you had gross receipts of $1 million or less OR 30 or fewer full-time employees in the previous tax year. You only need to meet one threshold — not both. Many businesses doing $5M–$10M in revenue still qualify because they're under 30 full-time employees.
Qualified Expenditure Test — Your Expenses Must Qualify
The IRS defines these as expenses to remove barriers preventing access for people with disabilities. Website accessibility audits, WCAG-aligned remediation, accessible redesigns, PDF accessibility work, and accessibility training all qualify. Verify with your CPA for your specific situation.
What Expenses Qualify
The IRS defines qualified accessibility expenditures broadly. All of the following count toward the annual $10,250 cap:
- Website accessibility audits (WCAG 2.1 AA)
- WCAG-aligned remediation and development work
- Accessible website redesigns
- PDF and document accessibility remediation
- Screen reader compatibility testing
- Staff accessibility training
- Caption and transcript services for video content
- Accessible mobile app development
The manual ADA/WCAG accessibility audit may qualify in full. Remediation work your developer performs afterward may also qualify — potentially generating a second credit claim the following year. Confirm with your CPA or tax advisor for your specific situation.
Important: Educational Information Only
CDG does not provide tax advice, prepare tax returns, or determine whether your business qualifies for the Disabled Access Credit. Your CPA or tax advisor should confirm eligibility, qualified expenses, credit limitations, and the correct filing treatment for your business. The information on this page is general and educational.
Estimate Potential Federal Tax Savings
| Tax Bracket | Credit Saves You | Deduction Saves You | Advantage of Credit |
|---|---|---|---|
| 22% | $4,125 | $1,870 | $2,255 more |
| 24% | $4,125 | $2,040 | $2,085 more |
| 32% | $4,125 | $2,720 | $1,405 more |
| 35% | $4,125 | $2,975 | $1,150 more |
| 37% | $4,125 | $3,145 | $980 more |
At every bracket, the credit saves significantly more than a standard deduction. The lower your bracket, the larger the advantage.
Disabled Access Credit Calculator
IRC Section 44 — Federal Tax Savings Estimator
Your Tax Savings Breakdown
This calculator provides estimates only. Consult a qualified CPA or tax professional to confirm eligibility and claim the credit correctly. Tax law is subject to change.
Schedule an Accessibility Audit Consultation →This page is educational. Tax law is complex, and individual circumstances vary. Confirm your eligibility with a qualified CPA or tax advisor before claiming. CDG provides the documentation for your CPA to process the claim, including an itemized invoice and audit scope summary. The eligibility determination is between you and your tax advisor.
Ready to Understand Your Website Accessibility Gaps?
CDG is currently accepting a limited number of audit clients. Clients receive direct involvement from the CDG audit team throughout the process, and the complete documentation package your CPA may need to review the potential credit claim.
15 minutes with the CDG team. We will walk through the audit scope and help you understand what documentation your CPA may need to evaluate potential tax savings. CDG does not confirm eligibility or prepare tax filings.