Credit Name: Several Research and Development Credits:
- R&D with Universities
- In-House Research Income Tax Credit
- In-House Research by Targeted Business Income Tax Credit
- In-House Research of Strategic Value Income Tax Credit
Expiration Date: 5 years per contract on #1-3
Does it apply to C corps and pass-through entities?: Yes
Credit Carry forward: #4-9 years
Description: 4 scenarios:
- R&D w/Universities. Company doing R&D with a school and is eligible for a 33% credit on those expenses.
- In-house Research Income Tax Credit. Company is doing IR&D and may apply for a credit of 10% of expenditures, up to $10,000 per year.
- In-house Research by a Targeted Business Income Tax Credit. Company is eligible for Credit and must file for status as “Targeted Business” and is eligible for income tax credits up to 33% during first 5 years of agreement.
- In-house Research Area of Strategic Value Income Tax Credit. Company applies for designation, gets 33% of QREs up to $50,000. Limited to 50% of liability.
Other Notes: Very Complex