Kentucky Patent of the Month – February 2026

Quick Answer: What is the Kentucky Patent of the Month for February 2026?The Kentucky Patent of the Month for February 2026 is U.S. Patent No. 12,522,500, assigned to Pyrochem Catalyst Company. This patent introduces a revolutionary Spray Pyrolysis System for manufacturing Mixed Metal Oxide (MMO) catalysts. The innovation solves critical scalability issues in catalyst production, offering higher efficiency and lower costs for the hydrogen economy, solid oxide fuel cells (SOFCs), and environmental emission controls.

Subject: Kentucky Patent of the Month – February 2026

Assignee: Pyrochem Catalyst Company

Award Designation and Project Overview

The technological landscape of the early 21st century is defined by the urgent imperative to transition from carbon-intensive energy systems to sustainable, high-efficiency alternatives. Within this macroeconomic context, U.S. Patent No. 12,522,500, formally titled “Spray pyrolysis system and method for manufacture of mixed metal oxide compositions,” stands as a pivotal innovation in the field of advanced materials science. Filed on January 29, 2021, and officially granted by the United States Patent and Trademark Office (USPTO) on January 13, 2026, this intellectual property represents the culmination of years of rigorous research and development by the Pyrochem Catalyst Company, a Louisville, Kentucky-based entity at the forefront of catalytic innovation. In recognition of its transformative potential and technical sophistication, this patent has been distinguished as the Kentucky Patent of the Month for February 2026. This accolade was not bestowed arbitrarily; rather, it was the result of a comprehensive, data-driven selection process orchestrated by Swanson Reed, utilizing proprietary Artificial Intelligence (AI) algorithms to screen over 1,000 potential patent candidates filed or awarded within the region. The AI selection engine identified Patent 12,522,500 as a statistical outlier, distinguishing it from a crowded field of incremental improvements due to its disruptive capability in the manufacturing of Mixed Metal Oxides (MMOs).

The selection of Patent 12,522,500 as the Kentucky Patent of the Month for February 2026 is predicated on the invention’s demonstrable and profound real-world impact. While many patents represent theoretical advancements with limited immediate utility, the Swanson Reed AI analysis prioritizes innovations that address critical industrial efficiency gaps and offer a tangible Return on Investment (ROI) for the broader economy. The “real-world impact” in this instance refers to the patent’s ability to solve the “scalability paradox” in catalyst manufacturing: the historic difficulty of producing highly active, atomically dispersed complex oxides at an industrial scale without sacrificing performance or incurring prohibitive costs. By validating a superior spray pyrolysis system, Pyrochem Catalyst Company has introduced a platform technology that directly enhances the efficiency of hydrogen production, solid oxide fuel cells (SOFCs), and environmental emission control systems. The analysis indicates that this technology significantly lowers the barriers to entry for “clean hydrogen” production by enabling the cost-effective synthesis of pyrochlore catalysts that are resistant to sulfur poisoning and coking—two of the most persistent challenges in the processing of logistic fuels. Thus, the award acknowledges the patent not merely as a legal instrument, but as a critical enabler of the global energy transition, positioning Kentucky as a central hub in the high-tech materials manufacturing sector.

Technical Architecture and Scientific Superiority

To fully appreciate the magnitude of the innovation described in Patent 12,522,500, one must delve into the fundamental materials science of Mixed Metal Oxides (MMOs) and the limitations of incumbent synthesis methodologies. Mixed metal oxides, particularly those with Pyrochlore and Perovskite crystal structures, are prized in catalysis for their ability to facilitate oxygen mobility within their lattice. This “lattice oxygen” can participate in oxidation-reduction reactions, making the catalyst more active and resistant to deactivation. However, synthesizing these complex structures with high purity and homogeneity has historically been a chemical engineering challenge.

The Innovation: Advanced Spray Pyrolysis

The core of Patent 12,522,500 is an advanced Spray Pyrolysis System. At a fundamental level, spray pyrolysis involves the atomization of a precursor solution—typically metal salts dissolved in a solvent—into a heated reactor zone. The invention refines this process to achieve a level of control previously unattainable in bulk manufacturing.

The process begins with the precise formulation of a precursor solution where the stoichiometric ratio of metal cations (e.g., Lanthanum, Zirconium, Nickel, Rhodium) is fixed at the molecular level. This solution is then subjected to atomization, likely utilizing ultrasonic transducers or high-velocity dual-fluid nozzles, to generate an aerosol mist of micron-sized droplets. Crucially, each droplet acts as an individual “micro-reactor.” As these droplets traverse the high-temperature zone of the furnace (often exceeding 1,000°C), the solvent evaporates instantaneously, and the metal salts undergo thermal decomposition. Because the reaction is confined within the droplet volume, the metals have no opportunity to segregate or precipitate at different rates. They are forced to crystallize together, locking the metals into a homogeneous solid solution.

This mechanism allows for the creation of atomically dispersed catalysts. In many catalytic applications, the active metal (e.g., Platinum or Rhodium) is the most expensive component. In traditional methods, these metals often clump together (sinter) on the surface of the support, reducing the available surface area for reaction. The spray pyrolysis method described in the patent ensures that the active metal atoms are isolated and embedded within the crystal lattice of the support. This not only maximizes the “atom economy”—ensuring every atom of expensive metal is available for catalysis—but also imparts exceptional thermal stability. The metal atoms are physically anchored in the lattice, preventing them from migrating and agglomerating even under the harsh, high-temperature conditions of a hydrogen reformer or a fuel cell stack.

Competitive Benchmarking Against Incumbent Technologies

The superiority of the technology in Patent 12,522,500 becomes starkly evident when benchmarked against the three dominant legacy methods used by competitors: Co-Precipitation, Sol-Gel Synthesis, and Impregnation. These methods, while established, suffer from inherent thermodynamic and kinetic limitations that the patented spray pyrolysis system overcomes.

Comparison with Co-Precipitation

Co-Precipitation is the standard industrial workhorse for producing catalyst supports. It involves mixing aqueous solutions of metal salts and adding a base (precipitant) to shift the pH, causing metal hydroxides to precipitate out of the solution.

  • The Homogeneity Deficit: The primary failing of co-precipitation is the difficulty of maintaining a uniform pH throughout a large industrial reactor. As the precipitant is added, local variations in pH occur. Since different metals precipitate at different pH levels, this leads to phase segregation, where one metal oxide forms faster than the other. The result is a heterogeneous mixture rather than a true solid solution. In contrast, the spray pyrolysis method of Patent 12,522,500 creates the solid phase from the liquid phase in milliseconds, bypassing the pH-dependent precipitation step entirely. This ensures perfect stoichiometry in every particle.
  • Environmental and Operational Overhead: Co-precipitation is a batch process that generates massive volumes of liquid waste containing nitrates, chlorides, or sulfates, which require expensive treatment. The resulting solid must be filtered, washed, dried, and calcined—a multi-step process that consumes time and energy. Spray pyrolysis is a continuous, single-step process with no liquid effluent; the solvent is evaporated and can be recovered, making it inherently “greener” and more operationally efficient.

Comparison with Sol-Gel Synthesis

Sol-Gel chemistry involves the hydrolysis and condensation of metal alkoxides to form a gel network, which is then dried and calcined to form an oxide.

  • Cost and Scalability Barriers: While sol-gel offers better homogeneity than co-precipitation, it utilizes metal alkoxide precursors that are significantly more expensive (often 10x–50x) than the simple nitrate or acetate salts used in spray pyrolysis. Furthermore, the sol-gel process is notoriously slow, often requiring days for the “aging” and drying steps to prevent the material from cracking. This makes high-volume manufacturing prohibitively expensive and logistically complex. The spray pyrolysis system described in the patent utilizes cheaper precursors and produces the final powder in seconds, offering a dramatic reduction in the Levelized Cost of Material (LCOM).
  • Morphological Limitations: Sol-gel typically produces monolithic blocks that must be crushed, resulting in irregular, jagged particles with poor packing density. The spray pyrolysis process naturally produces spherical particles. These spheres pack more efficiently in catalyst beds and catalytic converter coatings, leading to lower pressure drops and better mass transfer properties in gas-phase reactions.

Comparison with Impregnation (Wetness Impregnation)

Impregnation involves soaking a pre-formed porous support (like alumina pellets) with a solution containing the active metal, followed by drying.

  • The Sintering Problem: This method deposits the active metal on the surface of the support. While this places the metal where the reactants are, the metal particles are not chemically anchored to the support lattice. Under high-temperature operation (e.g., in a vehicle exhaust), these surface particles migrate and merge, a phenomenon known as sintering. This leads to a rapid loss of active surface area and catalytic deactivation. The patent’s method of incorporating the active metal into the lattice during synthesis creates a material that is intrinsically resistant to sintering. This allows Pyrochem’s catalysts to maintain high activity over tens of thousands of hours, whereas impregnated catalysts often degrade rapidly.

Table 1: Technical Benchmark of Catalyst Manufacturing Methodologies

Performance Metric Patent 12,522,500 (Spray Pyrolysis) Co-Precipitation (Industry Standard) Sol-Gel (High Purity Niche) Wet Impregnation (Standard)
Process Continuity Continuous (Single-step aerosol to powder) Batch (Multi-step: Mix, Filter, Wash, Calcine) Batch (Multi-step: Hydrolysis, Age, Dry, Calcine) Batch (Multi-step: Soak, Dry, Calcine)
Atomic Homogeneity Superior (Locked in droplet micro-reactor) Variable (Dependent on pH control) Excellent (Chemical network) Poor (Surface clustering)
Thermal Stability High (>1000°C due to lattice anchoring) Moderate (Prone to phase separation) Moderate Low (Prone to surface sintering)
Precursor Cost Low (Uses standard metal salts) Low (Standard salts) High (Requires alkoxides) Moderate
Production Speed Fast (Milliseconds residence time) Slow (Hours to Days) Very Slow (Days for aging) Slow (Hours)
Waste Generation Low (Solvent recovery feasible) High (Liquid filtrate waste) High (Organic solvent waste) Moderate
Particle Morphology Engineered (Spherical, hollow, or porous) Uncontrolled (Aggregates) Uncontrolled (Monoliths) Dictated by support

Competitive Landscape Analysis

The global catalyst market is dominated by multinational corporations such as BASF, Johnson Matthey, Umicore, and Clariant. These entities possess immense scale and established supply chains. However, their dominance is built upon legacy infrastructure—massive precipitation tanks and belt calciners designed for the technologies of the 20th century. To adopt the superior spray pyrolysis technology described in Patent 12,522,500, these competitors would need to fundamentally retool their production lines, incurring massive capital expenditure (CapEx) and writing off existing assets.

This creates a strategic “innovator’s dilemma” for the incumbents and a unique competitive advantage for Pyrochem Catalyst Company. By building their manufacturing infrastructure around this continuous, scalable patent from the ground up, Pyrochem can achieve agile manufacturing. They can switch formulations (e.g., from a Nickel-based reforming catalyst to a Cobalt-based oxidation catalyst) simply by changing the precursor feed tanks, without the need for extensive cleaning or re-configuration of precipitation vessels. This flexibility is crucial in the rapidly evolving market for green energy materials, where catalyst formulations are constantly being optimized. Furthermore, the ability to produce superior materials at a lower cost allows Pyrochem to compete directly on performance-to-price ratio, offering customers (such as fuel cell manufacturers or refineries) a product that lasts longer and performs better for the same or lower price.

Real-World Impact and Market Applications

The designation of Patent 12,522,500 as the Kentucky Patent of the Month is heavily influenced by its potential to drive tangible economic and environmental progress. The technology is a platform enabler for several critical sectors, most notably the hydrogen economy, fuel cells, and environmental emissions control.

The Hydrogen Economy: Reforming and Generation

The transition to hydrogen as a clean energy carrier is contingent upon the ability to produce it efficiently. Currently, the majority of the world’s hydrogen is produced via Steam Methane Reforming (SMR) of natural gas, a process that relies heavily on nickel-based catalysts.

  • Challenge: Traditional nickel catalysts are prone to coking (carbon deposition) and sulfur poisoning. When reforming logistic fuels like diesel or jet fuel—which are essential for military and remote power applications—the sulfur and heavy hydrocarbons rapidly deactivate the catalyst, clogging the reactor and halting production.
  • Patent Impact: The spray pyrolysis technology enables the synthesis of Pyrochlore catalysts (e.g., Lanthanum Zirconate doped with Rhodium or Nickel). These complex oxides possess high “oxygen storage capacity” and mobility. The lattice oxygen can migrate to the surface to oxidize any deposited carbon, effectively “self-cleaning” the catalyst during operation. This capability, validated by Pyrochem’s licensing of technology from the U.S. Department of Energy’s National Energy Technology Laboratory (NETL), allows for the deployment of Compact Reformers. These units can be installed at fueling stations to produce hydrogen on-site from liquid fuels, bypassing the need for expensive hydrogen pipeline infrastructure.
  • Ethanol-to-Hydrogen: Furthermore, Pyrochem’s spin-off, PCC Hydrogen, utilizes this manufacturing capability to produce catalysts optimized for converting ethanol into hydrogen. This pathway allows for carbon-negative hydrogen production (since the carbon in ethanol is biogenic). The precise control over the catalyst’s acidity and basicity, achieved via the patented spray pyrolysis method, is essential to maximize hydrogen yield and minimize byproducts like ethylene or acetaldehyde.

Solid Oxide Fuel Cells (SOFCs)

Solid Oxide Fuel Cells are highly efficient devices that convert chemical energy directly into electricity. They operate at high temperatures (600°C–1000°C), which places immense stress on the materials.

  • Challenge: The anode and electrolyte materials in SOFCs must maintain their crystal structure and interface integrity over tens of thousands of hours. Traditional manufacturing methods often result in microscopic impurities or phase inhomogeneities that act as crack initiation sites or barriers to ionic conductivity.
  • Patent Impact: The atomic homogeneity provided by the spray pyrolysis patent ensures that the Yttria-Stabilized Zirconia (YSZ) or Ceria-based ceramics used in SOFCs are defect-free. This improves the ionic conductivity of the electrolyte (reducing internal resistance and increasing power density) and the mechanical durability of the cell. Consequently, this technology helps reduce the degradation rate of fuel cell stacks, extending their operational life and lowering the Levelized Cost of Electricity (LCOE) for end-users.

Environmental Catalysis and Critical Minerals

The automotive and industrial sectors are under increasing regulatory pressure to reduce emissions of Nitrogen Oxides (NOx), Carbon Monoxide (CO), and Volatile Organic Compounds (VOCs).

  • Challenge: Current catalytic converters rely heavily on Platinum Group Metals (PGMs) like Platinum, Palladium, and Rhodium. These metals are extremely expensive, subject to geopolitical supply risks, and their mining has a high environmental footprint.
  • Patent Impact: The patent allows for the synthesis of highly active Mixed Metal Oxides (e.g., Copper-Manganese spinels, often referred to as advanced Hopcalites) that can catalyze oxidation reactions at low temperatures without the use of PGMs, or with significantly reduced loadings. By creating a high surface area oxide support where base metals are atomically dispersed, the specific activity per gram of catalyst is increased. This offers a pathway to thrifty catalysis, reducing the global dependency on Russian and South African PGM supply chains and lowering the cost of compliance for automobile manufacturers.

R&D Tax Credit Analysis (The 4-Part Test)

For an innovation-driven company like Pyrochem Catalyst Company, the Research and Development (R&D) Tax Credit (under Internal Revenue Code Section 41) is a vital mechanism for recouping the costs associated with developing breakthrough technologies like Patent 12,522,500. To qualify, the development activities must satisfy the rigorous Four-Part Test. The following analysis details how the project to develop this spray pyrolysis system and the resulting catalyst compositions would meet these statutory requirements, demonstrating the alignment between technical innovation and fiscal strategy.

Part 1: Permitted Purpose (Business Component)

Statutory Requirement: The activity must relate to a new or improved business component—defined as a product, process, computer software, technique, formula, or invention—which is to be held for sale, lease, or license, or used by the taxpayer in its trade or business. The research must intend to improve functionality, performance, reliability, or quality.

Application to Patent 12,522,500:

In this case, Pyrochem Catalyst Company was developing two distinct business components:

  1. The Product: A new class of Mixed Metal Oxide (MMO) catalyst powders with specific stoichiometry and morphology, held for sale to customers in the petrochemical and energy sectors.
  2. The Process: A proprietary Spray Pyrolysis manufacturing process designed to synthesize these powders continuously.

The development efforts were clearly aimed at improving performance (catalytic activity, thermal stability), quality (phase purity, homogeneity), and reliability (batch-to-batch consistency). The transition from batch processing to continuous spray pyrolysis represents a fundamental improvement in the manufacturing process, squarely satisfying the Permitted Purpose requirement.

Part 2: Technological in Nature

Statutory Requirement: The research must fundamentally rely on the principles of the physical or biological sciences, engineering, or computer science. The information sought must be technological in nature.

Application to Patent 12,522,500:

The development of this patent required deep reliance on “hard sciences,” specifically:

  • Fluid Dynamics & Mechanical Engineering: Designing the atomization nozzles to generate a consistent droplet size distribution (e.g., <5 microns) while handling viscous, high-density salt solutions without clogging.
  • Thermodynamics & Heat Transfer: Modeling the temperature gradients within the furnace to ensure that the solvent evaporation and salt decomposition occur in the correct sequence and timeframe (residence time) to prevent hollow shell formation or particle exploding.
  • Materials Science & Crystallography: Understanding the phase diagrams of complex oxide systems (e.g., La-Zr-Ni-O) to predict the conditions under which the desired Pyrochlore phase forms versus unwanted separate oxides.

The project did not rely on soft sciences (economics, consumer preference) but on rigorous engineering and chemistry.

Part 3: Elimination of Uncertainty

Statutory Requirement: At the outset of the activities, there must be uncertainty concerning the capability (can we achieve the result?), the method (how will we achieve it?), or the appropriate design (what is the optimal system configuration?) of the business component.

Application to Patent 12,522,500:

While the general concept of spray pyrolysis exists in literature, applying it to specific, proprietary mixed metal oxide formulations introduced significant technical uncertainties:

  • Uncertainty of Capability: It was unknown whether specific combinations of incompatible metals (e.g., combining a refractory metal like Zirconium with a volatile metal) could be co-crystallized into a single phase without segregation during the rapid quenching phase of pyrolysis.
  • Uncertainty of Method: The team faced uncertainty regarding the optimal synthesis parameters. For instance, would ultrasonic atomization provide sufficient throughput, or would a dual-fluid nozzle be required? How could the system capture sub-micron nanoparticles efficiently from a high-velocity gas stream without creating excessive back-pressure?
  • Uncertainty of Design: Determining the optimal reactor geometry (vertical vs. horizontal, length-to-diameter ratio) to ensure uniform heat flux and residence time was a non-trivial engineering challenge.

The granting of the patent itself serves as strong evidence that these uncertainties were substantial and that the solution was non-obvious to a person skilled in the art.

Part 4: Process of Experimentation

Statutory Requirement: Substantially all (at least 80%) of the activities must constitute elements of a process of experimentation. This involves evaluating one or more alternatives to achieve a result where the capability or method is uncertain. This is the core of the R&D credit, requiring a systematic trial-and-error approach (simulation, modeling, prototyping).

Application to Patent 12,522,500:

The development timeline for this patent (2021–2026) would have involved a classic scientific method approach:

  1. Hypothesis Formulation: The engineering team hypothesized that adding a specific chelating agent (e.g., citric acid) to the precursor solution would prevent premature precipitation in the droplet.
  2. Systematic Testing: They would have conducted a series of pilot runs (Design of Experiments) varying key parameters: Furnace Temperature (800°C, 900°C, 1000°C), Carrier Gas Flow Rate, Precursor Concentration, and Droplet Residence Time.
  3. Analysis & Evaluation: The resulting powders from each run would be analyzed using X-Ray Diffraction (XRD) to check for phase purity, BET analysis for surface area, and Scanning Electron Microscopy (SEM) for morphology.
  4. Iteration: If “Run A” resulted in amorphous powder (too cool) and “Run B” resulted in sintered hard agglomerates (too hot), the team would refine the design to run “Trial C” at an intermediate temperature or with a modified residence time.
  5. Refining the Design: Testing different nozzle geometries to prevent clogging or to change the droplet size distribution.

This systematic cycle of hypothesize-test-analyze-refine is the definitive “Process of Experimentation” required by the IRS.

Swanson Reed’s Strategic Role in Claiming the Credit

Navigating the complexities of the R&D Tax Credit requires more than just good engineering; it requires precise documentation and adherence to IRS audit standards. Swanson Reed, as a specialist R&D tax advisory firm, provides a suite of services designed to ensure that companies like Pyrochem can claim these credits securely and efficiently.

TaxTrex: AI-Driven Contemporaneous Documentation

One of the most common reasons R&D claims are denied in audits is the lack of “contemporaneous documentation”—records created at the time of the research, not reconstructed years later. To solve this, Swanson Reed utilizes TaxTrex, an advanced AI software platform.

  • The AI Interview: TaxTrex uses Natural Language Processing (NLP) to “interview” technical staff throughout the year. Instead of asking generic questions, it asks targeted technical queries based on the project type. For the patent project, TaxTrex might ask: “Did you encounter any nozzle clogging issues this week? What alternative designs did you test to resolve it?”
  • Linking to the 4-Part Test: The software automatically maps these responses to the specific requirements of the 4-Part Test (e.g., linking the nozzle clogging issue to “Uncertainty of Design” and the testing of alternatives to “Process of Experimentation”). This creates a robust, time-stamped audit trail that is far superior to retroactive interviews or general ledger estimates.

The Six-Eye Review Process

To ensure maximum compliance and accuracy, Swanson Reed subjects every claim to a mandatory “Six-Eye Review” process. This involves a collaborative review by three distinct experts:

  1. A Qualified Engineer: This reviewer understands the technical nuances of the project. They verify that the activities described (e.g., designing a spray pyrolysis reactor) genuinely meet the definition of “Qualified Research Activities” and are not merely routine data collection or reverse engineering.
  2. A Scientist: This reviewer validates the underlying scientific principles. For Patent 12,522,500, they would confirm that the chemical challenges described (stoichiometry control, phase segregation) are legitimate scientific uncertainties grounded in chemistry and physics.
  3. A Tax Attorney or CPA: This reviewer focuses on the financial and legal aspects. They ensure that the costs associated with the research (wages, supplies, contractor fees) are calculated correctly according to the complex rules of IRC Section 41 and that all “excluded activities” (like funded research or research after commercial production) are removed.

creditARMOR: Audit Defense and Risk Management

Given the high value of claims associated with patentable technology, the risk of IRS scrutiny is non-zero. Swanson Reed offers creditARMOR, a comprehensive audit defense package.

  • Pre-Filing Defense: The system uses predictive analytics to flag “high-risk” areas in a claim before it is filed, allowing the company to strengthen documentation in weak spots.
  • Audit Representation: If the IRS does audit the claim, Swanson Reed provides the technical and legal representation to defend it. In the case of Patent 12,522,500, they would leverage the patent documentation itself as a “shield.” The fact that the USPTO—a federal agency—granted a patent is a powerful argument that the work involved significant novelty and technical uncertainty, directly supporting the “Technical in Nature” and “Elimination of Uncertainty” tests.

Final Thoughts

The selection of U.S. Patent No. 12,522,500 as the Kentucky Patent of the Month for February 2026 highlights a pivotal advancement in the infrastructure of the green economy. By overcoming the thermodynamic and kinetic limitations of traditional co-precipitation and sol-gel manufacturing methods, Pyrochem Catalyst Company has established a new benchmark for the production of Mixed Metal Oxides. Their spray pyrolysis system enables the continuous, scalable, and cost-effective synthesis of atomically dispersed catalysts, which are critical for the viability of hydrogen reforming, fuel cells, and advanced emission controls.

This technology does more than just improve a chemical reaction; it alters the economics of decarbonization. By lowering the cost and increasing the durability of the catalysts that power the hydrogen and fuel cell industries, this patent accelerates the global transition away from fossil fuels. Furthermore, the rigorous application of the R&D Tax Credit, supported by the specialized methodologies of Swanson Reed, ensures that the capital invested in this high-risk, high-reward innovation can be reinvested into future breakthroughs. Thus, Patent 12,522,500 stands as a testament to the synergistic power of advanced engineering, strategic intellectual property protection, and intelligent fiscal policy in driving industrial progress.

Who We Are:

Swanson Reed is one of the largest Specialist R&D Tax Credit advisory firm in the United States. With offices nationwide, we are one of the only firms globally to exclusively provide R&D Tax Credit consulting services to our clients. We have been exclusively providing R&D Tax Credit claim preparation and audit compliance solutions for over 30 years. Swanson Reed hosts daily free webinars and provides free IRS CE and CPE credits for CPAs.

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The Research & Experimentation Tax Credit (or R&D Tax Credit), is a general business tax credit under Internal Revenue Code section 41 for companies that incur research and development (R&D) costs in the United States. The credits are a tax incentive for performing qualified research in the United States, resulting in a credit to a tax return. For the first three years of R&D claims, 6% of the total qualified research expenses (QRE) form the gross credit. In the 4th year of claims and beyond, a base amount is calculated, and an adjusted expense line is multiplied times 14%. Click here to learn more.

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