R&D Credit Database

Federal and State Research Credit Programs, Side by Side

A structured reference covering the federal credit and 36 state programs — rates, refundability, carryforward, eligibility and official sources. Designed to expand to additional states and countries as new programs are added.

Showing 37 of 37 programs

Jurisdiction	Program	Headline Rate	Cash Benefit	Status
United States (Federal) US	Federal Research & Development Tax Credit (IRC Section 41) The federal credit for qualified research activities, available to businesses of any size that develop or improve products, processes, software, or formulations in the United States.	20% regular method; 14% Alternative Simplified Credit	Offset Only	Active Official Source
Arizona AZ	Arizona Credit for Increased Research Activities A two-tier state credit modeled on the federal research credit, with a partial refund available to qualifying small businesses.	24% of the first $2.5M of excess QREs; 15% above that	Refundable	Active Official Source
Arkansas AR	Arkansas In-House Research and Development Tax Credit Incentives for in-house research, university-partnered research, and targeted-business research, administered through the Arkansas Economic Development Commission.	20% of qualified in-house research expenditure increases; 33% for university-based research	Offset Only	Active Official Source
California CA	California Research and Development Credit A long-standing state credit that closely tracks IRC Section 41 but uses California-only expenses and a fixed-base percentage.	15% of qualified expenses above base; 24% of basic research payments	Offset Only	Active Official Source
Colorado CO	Colorado Enterprise Zone Research and Development Increase Tax Credit A geographically targeted credit for companies that increase research spending inside a designated Colorado Enterprise Zone.	3% of the increase in Enterprise Zone research spending	Offset Only	Active Official Source
Connecticut CT	Connecticut Research and Experimental Expenditures Credit Two complementary credits: an incremental credit on increased research spending and a non-incremental credit on total research expenses.	20% incremental credit; 1% to 6% graduated non-incremental credit	Refundable	Active Official Source
Delaware DE	Delaware Research and Development Tax Credit A refundable state credit that follows the federal research credit calculation and may provide a cash refund to eligible companies with limited or no Delaware tax liability.	10% of the federal credit apportioned to Delaware; 20% for small businesses	Refundable	Active Official Source
Florida FL	Florida Research and Development Tax Credit A capped, competitive credit available to qualifying corporations in targeted high-technology industries.	10% of qualified research expenses above the prior four-year average	Offset Only	Active Official Source
Georgia GA	Georgia Research and Development Tax Credit A broadly available credit that can offset Georgia income tax and, subject to applicable requirements, state payroll withholding tax.	10% of the increase in Georgia qualified research expenses	Offset Only	Active Official Source
Hawaii HI	Hawaii Tax Credit for Research Activities A refundable credit for qualified high technology businesses, subject to an annual statewide cap and certification.	Based on the federal credit rate applied to Hawaii QREs	Refundable	Active Official Source
Idaho ID	Idaho Credit for Idaho Research Activities A straightforward incremental credit against Idaho income tax for research performed within the state.	5% of qualified Idaho research expenses above the base amount	Offset Only	Active Official Source
Illinois IL	Illinois Research and Development Credit An incremental credit for research conducted in Illinois, currently available through the 2027 tax year.	6.5% of the increase in Illinois qualified research expenses	Offset Only	Active Official Source
Indiana IN	Indiana Research Expense Credit A two-tier credit with a higher rate on the first tranche of qualifying research spending.	15% of the first $1M of qualified increase; 10% above that	Offset Only	Active Official Source
Iowa IA	Iowa Research Activities Credit A refundable state research credit available to businesses conducting qualified research in eligible industries.	6.5% regular method; 4.55% alternative simplified method	Refundable	Active Official Source
Kansas KS	Kansas Research and Development Credit A recently expanded and transferable credit that extends eligibility to pass-through entities.	10% of the increase in Kansas qualified research expenditures	Offset Only	Active Official Source
Kentucky KY	Kentucky Qualified Research Facility Tax Credit A Kentucky incentive for constructing, remodeling, equipping, or expanding facilities used for qualified research.	5% of qualified research facility construction and equipment costs	Offset Only	Active Official Source
Louisiana LA	Louisiana Research and Development Tax Credit A research credit with rates that vary based on Louisiana employee count, with a separate provision for eligible SBIR/STTR award recipients.	30% for under 50 employees; 10% for 50-99; 5% for 100+	Offset Only	Active Official Source
Maine ME	Maine Research Expense Tax Credit A two-component credit covering incremental research spending and certain basic research payments.	5% of the excess over the base amount; 7.5% for basic research payments	Offset Only	Active Official Source
Maryland MD	Maryland Research and Development Tax Credit A competitively allocated research credit with refundable treatment available to qualifying small businesses.	10% of eligible Maryland research expenses above the base	Refundable	Active Official Source
Massachusetts MA	Massachusetts Research Credit A permanent state research credit for qualifying research conducted in Massachusetts.	10% of qualified expenses above the base; 15% of basic research payments	Offset Only	Active Official Source
Michigan MI	Michigan Research and Development Tax Credit A state research and development credit for qualifying research activities in Michigan, with an additional credit available for certain research conducted in collaboration with a Michigan research university.	Up to 10% for large employers and 15% for small employers above base, plus 5% for university collaboration	Refundable	Active Official Source
Minnesota MN	Minnesota Credit for Increasing Research Activities A two-tier research credit with different refundability rules for corporations and eligible owners of pass-through entities.	10% of the first $2M of qualifying expenses; 4% above that	Refundable	Active Official Source
Nebraska NE	Nebraska Research and Development Act Credit A refundable and transferable research credit with a higher rate for qualifying research conducted at certain Nebraska college or university facilities.	15% of the federal credit attributable to Nebraska; 35% for university-campus research	Refundable	Active Official Source
New Hampshire NH	New Hampshire Research and Development Tax Credit A capped credit applied against New Hampshire's business profits and business enterprise taxes.	Percentage of qualified manufacturing R&D wages, subject to per-business and statewide caps	Offset Only	Active Official Source
New Jersey NJ	New Jersey Research and Development Tax Credit A state research credit based largely on federal Section 41 rules, with a separate program that allows qualifying technology and biotechnology companies to transfer certain unused tax benefits.	10% of the excess of qualified research expenses over the base amount	Offset Only	Active Official Source
New Mexico NM	New Mexico Technology Jobs and Research and Development Tax Credit A basic research credit and an additional credit tied to New Mexico payroll growth, with higher rates for qualifying research conducted in rural areas and refundability available to eligible small businesses.	5% basic and 5% additional; doubled to 10% each in rural areas	Refundable	Active Official Source
New York NY	New York Life Sciences and Excelsior Research and Development Tax Credit Research and development incentives available through the Excelsior Jobs Program and a refundable credit for qualifying life sciences companies.	Excelsior R&D component of 6% of federal credit attributable to NY; life sciences credit of 15% or 20%	Refundable	Active Official Source
North Dakota ND	North Dakota Research and Experimental Expenditures Credit A tiered research credit with a transfer option for certain qualifying businesses that meet applicable statutory requirements.	25% of the first $100,000 of excess expenses; 8% above that	Offset Only	Active Official Source
Ohio OH	Ohio Research and Development Investment Tax Credit A non-refundable research credit applied against the Ohio Commercial Activity Tax (CAT).	7% of the excess of Ohio qualified research expenses over the three-year average	Offset Only	Active Official Source
Pennsylvania PA	Pennsylvania Research and Development Tax Credit A competitively allocated research credit with a dedicated small-business allocation and a transfer option for approved unused credits.	10% of the increase over base; 20% for qualifying small businesses	Offset Only	Active Official Source
Rhode Island RI	Rhode Island Credit for Qualified Research Expenses A research credit based on qualified research expenses, with tiered rates and a long carryforward period.	22.5% of the first $111,111 of excess expenses; 16.9% above that	Offset Only	Active Official Source
South Carolina SC	South Carolina Research Expenses Credit A state research credit based on qualifying research expenses incurred in South Carolina, with a ten-year carryforward.	5% of qualified South Carolina research expenses	Offset Only	Active Official Source
Texas TX	Texas Research and Development Incentive A research and development incentive provided through a sales and use tax exemption for qualifying materials and equipment.	Full sales and use tax exemption on qualifying research property	Offset Only	Active Official Source
Utah UT	Utah Research Activities Credit A multi-component research credit that includes an incremental credit, a credit for qualifying basic research payments, and a credit based on total Utah qualified research expenses.	5% incremental, 5% basic research payments, 7.5% of total Utah QREs	Offset Only	Active Official Source
Vermont VT	Vermont Research and Development Tax Credit A state research credit calculated as a percentage of the federal research credit attributable to qualifying research conducted in Vermont.	27% of the federal research credit attributable to Vermont	Offset Only	Active Official Source
Virginia VA	Virginia Research and Development Expenses Tax Credit Two research credits with different eligibility and refundability rules, including a refundable credit and a separate major research and development expenses credit.	15% of the first $300,000 of Virginia QREs; 20% for university research; 10% under the major program	Refundable	Active Official Source
Wisconsin WI	Wisconsin Research Expense Credit A partially refundable research credit based on qualifying increases in Wisconsin research expenses, with enhanced rates for certain eligible research activities.	5.75% of the increase over base; 11.5% for qualifying engine and energy efficiency research	Refundable	Active Official Source

Not Sure Which Programs You Can Combine?

Depending on your business and where the research is performed, you may qualify for both federal and state R&D incentives. We review your activities to identify applicable programs and potential opportunities in one assessment.

Schedule a Call Contact Us