State program
Indiana Research Expense Credit
A two-tier credit with a generous rate on the first tranche of qualifying research spending.
Program Overview
Indiana provides a research expense credit calculated on the increase in Indiana qualified research expenses over a base period amount, with a higher rate applied to the first $1 million of qualifying increase and a lower rate above that. Taxpayers may elect an alternative simplified method with a reduced rate but a simpler base computation, which is often the better choice for companies with incomplete historical records. Indiana also offers a separate sales tax exemption for research and development equipment.
Eligibility
Taxpayers with qualified research expenses incurred for research conducted in Indiana that would qualify under IRC Section 41.
Benefits
Non-refundable credit against Indiana adjusted gross income tax.
Schedule a Teleconference
A scoping conversation clarifies exposure, open IDRs, and whether readiness or active defense is the priority.