State Credit Name: North Carolina Research and Development Tax Credit

Expiration Date: Indefinite

Who Can Apply? Corporations and flow-through entities

Credit Carry Forward: Unused credit can be carried forward 15 years.

About the Credit:
The taxpayer is eligible for the North Carolina R&D tax credit if they meet certain criteria, including:

  • meeting the wage standard,
  • providing health insurance for employees,
  • maintaining a good environmental record, and
  • having a good Occupational Safety and Health Act record.

There are five different tiers of credit rates depending on business type:

  • Small business: 3.25%
  • Low-tier research: 3.25%
  • University research: 20%
  • Eco-industrial park: 30%
  • Other expenses: 1.25% – 3.25% dependent on level of expenses.

Notes: Only one credit rate is allowed for the same expenses. If more than one category  applies to the same expenses, the higher credit is used.
Click here to find out if you qualify for the federal research credit.



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Why Swanson Reed

We provide full, hands-on support from start to finish.

Are You Eligible?

Take our eligibility wizard to find out if you qualify for a tax credit.

Calculate Your Benefit

Use our quick calculator to determine your R&D tax credit benefit.

Know Your Deadline

 Never miss a deadline again with our R&D Tax Credit filing deadline calculator.

For Accountants

 Take advantage of our extensive database of videos, case law and recent news.

Industry Case Studies

 Find out the qualifying R&D activities specific to your industry.

Contact Us

Contact your local Swanson Reed office to speak with a representative in your area today. 

6255 Towncenter Dr.
Ste. 816
Clemmons, NC 27012T: (336) 899-7469
F: (512) 256-8157