Research and Development Credit

Research and Development Credit

Program Name: Research and Development Credit

Resource Type: State

State: New Hampshire, Northeast

Agency: Program Source: Tax Incentive

Description: During the 2007 session, the Legislature enacted a research and development credit against business taxes paid to the state of New Hampshire. Under the 2007 Laws of New Hampshire, Chap. 271, the Legislature has designated $1,000,000 for each of the next 5 fiscal years to be available to fund the credit. Business organizations that have expenditures made during the fiscal year for qualified manufacturing research and development. “Qualified manufacturing research and development” expenditures are wages paid to employees of the business organization for services rendered in New Hampshire which qualify and are reported as a credit by the business organization under section 41 of the Internal Revenue Code. More specifically, “qualified manufacturing research and development” expenditures are the wage amounts attributable to New Hampshire that make up lines 5, 24, or 49 of the business organization’s Federal Form 6765.