Amount of credit; computation
Sec. 2. (a) A taxpayer who incurs Indiana qualified research
expense in a particular taxable year is entitled to a research expense
tax credit for the taxable year.
(b) For Indiana qualified research expense incurred before
January 1, 2008, the amount of the research expense tax credit is
equal to the product of ten percent (10%) multiplied by the
remainder of:
(1) the taxpayer's Indiana qualified research expenses for the
taxable year; minus
(2) the taxpayer's base amount.
(c) For Indiana qualified research expense incurred after
December 31, 2007, the amount of the research expense tax credit is
determined under STEP FOUR of the following formula:
STEP ONE: Subtract the taxpayer's base amount from the
taxpayer's Indiana qualified research expense for the taxable
year.
STEP TWO: Multiply the lesser of:
(A) one million dollars ($1,000,000); or
(B) the STEP ONE remainder;
by fifteen percent (15%).
STEP THREE: If the STEP ONE remainder exceeds one
million dollars ($1,000,000), multiply the amount of that excess
by ten percent (10%).
STEP FOUR: Add the STEP TWO and STEP THREE products.
As added by P.L.51-1984, SEC.1. Amended by P.L.53-1984, SEC.1;
P.L.57-1990, SEC.2; P.L.192-2002(ss), SEC.87; P.L.193-2005,
SEC.13.
Last modified: May 28, 2006