Most states run their own R&D credit that stacks on top of the federal credit — with their own rates, forms, and carryforward rules. Explore the interactive 2026 map below, then talk to us about claiming both.
Hover any state to see whether it offers an R&D credit. Many states mirror the federal four-part test, so work that qualifies federally often qualifies at the state level too.
Map is illustrative and based on 2026 guidance. State credit availability and rules change frequently — confirm current details with a tax professional.
38 states currently offer their own R&D tax credit that stacks on top of the federal credit. Credits vary by rate, base calculation method, carryforward period, and refundability. The 12 states listed at the bottom do not currently offer a standalone state R&D credit.
| State | 2026 Headline Credit Rate |
|---|---|
| Alaska (AK) | 18% of federal credit |
| Arizona (AZ) | 24% on first $2.5M of QREs, 15% above |
| Arkansas (AR) | 20% (33% for university/targeted research) |
| California (CA) | 15% regular method / 24% basic research |
| Colorado (CO) | 3% (enterprise zones) |
| Connecticut (CT) | 6% flat / up to 20% incremental |
| Delaware (DE) | 10% (refundable; 50% of federal ASC) |
| Florida (FL) | 10% of excess qualified research expenses |
| Georgia (GA) | 10% of excess qualified research expenses |
| Hawaii (HI) | Equal to federal credit percentage (refundable) |
| Idaho (ID) | 5% |
| Illinois (IL) | 6.5% |
| Indiana (IN) | Up to 15% |
| Iowa (IA) | 6.5% (refundable) |
| Kansas (KS) | 10% |
| Kentucky (KY) | 5% (research facilities) |
| Louisiana (LA) | 5–30% (varies by headcount) |
| Maine (ME) | 5% |
| Maryland (MD) | 10% (refundable for small businesses) |
| Massachusetts (MA) | 10% incremental (+15% basic research) |
| Michigan (MI) | 10% over base (+5% university research) |
| Minnesota (MN) | 10% on first $2M of QREs, 4% above |
| Missouri (MO) | 15% (20% university research) |
| Nebraska (NE) | 15% (21% university; refundable) |
| New Hampshire (NH) | 10% (capped pool) |
| New Jersey (NJ) | 10% |
| New Mexico (NM) | 5% (10% in rural areas) |
| New York (NY) | 15–20% (life sciences emphasis) |
| North Dakota (ND) | 25% on first $100K of QREs, 8% above |
| Ohio (OH) | 7% (applied against Commercial Activity Tax) |
| Pennsylvania (PA) | 10% (20% for small businesses) |
| Rhode Island (RI) | 22.5% on first $111K of QREs, 16.9% above |
| South Carolina (SC) | 5% |
| Texas (TX) | 8.722% (10.903% for university research) |
| Utah (UT) | 7.5% volume credit + 5% incremental |
| Vermont (VT) | 27% of federal credit |
| Virginia (VA) | 15% on first $300K of QREs (refundable) |
| Wisconsin (WI) | 5.75% |
The following states do not currently offer a standalone state-level R&D tax credit. Businesses in these states may still benefit fully from the federal R&D credit. Credit availability is subject to change as state legislatures update their tax codes annually.