R&D Tax Credit Available:
C-Corporation, S-Corporations, LLCs, Partnerships
Deadline for Tax Filing:
Due with Utah Tax Return
Data Required to Compute Credit:
- Claim Period Federal Qualified R&D Expenses (QREs)
- Claim Period Utah QREs
- Utah QREs for Prior 3 Years
- Utah Gross Receipts for Prior 4 Years
R&D Credit Summary:
Utah R&D tax credit is the sum of:
- 5% of qualified research expenses in Utah for the current tax year that exceed a base amount,
- 5% of payments made to a qualified organization for basic research in Utah for the current taxable year that exceed a base amount, and
- 7.5% of qualified research expenses for the taxable year.
There are two methods to calculate the base amount: Regular Credit (RC) and Alternative Simplified Credit (ASC) method.
- Credits calculated using 7.5% of a taxpayer's qualified research expenses may not be carried forward.
- There is no official Utah form for this credit. The final credit amount gets reported on Form TC-40A (Part 4 - using code 12)