Varies
Amount varies
Tax Credit
Reduces tax liability
Rolling
No fixed cutoff
Annual tax return
Claim with year-end filing
Moderate
File with tax return
California offers a 15% tax credit on qualifying in-house R&D expenditures above a base amount, and 24% for small businesses. The credit is permanent and uncapped, making California one of the most R&D-friendly states for technology companies.
Do I qualify?
Answer the questions below to get an instant self-assessment of your fit for this program. This is informational — final determinations are made by the administering agency.
1.Business pays California income or franchise taxes
2.Qualifying R&D must be conducted in California
3.Small business: gross receipts ≤$1M in prior year for enhanced 24% rate
4.Must document wages, supplies, contract research expenses
5.Credit can be carried forward indefinitely if unused
KCED · Kentucky
Provides tax incentives to new and expanding Kentucky businesses creating jobs and investing capital, including wage assessments, income tax credits, and sales tax savings on construction materials.
NDED · Nebraska
Refundable income tax credits and sales tax exemptions for Nebraska businesses making significant capital investments and creating quality jobs, with tiered benefits based on investment and job levels.
ACCD · Vermont
Cash incentive payments for Vermont businesses creating new qualifying jobs, calculated as a share of new payroll and capital investment over a 5-year period.