Florida R&D Tax Credit Benefits for Corporations

Florida and the R&D Tax Credit

State Credit Name: Research and Development Tax Credit

Expiration Date: Indefinite

Who Can Apply? Only corporations that are engaged in one of the target industries identified by the Department of Economic Opportunity in Florida and have claimed and received a federal research tax credit.

Credit Carry Forward: Credits that exceed 50% of the income tax liability, the excess can be carried forward for up to 5 years. No carry back.

Are you eligible?

Why choose us?

Pass an Audit?

Special Notes: Beginning in tax year 2012, 10% of current year Florida QRE’s that exceed the average of the prior 4 years. The credit is applied against the Florida corporate income tax liability, but it cannot exceed 50% of the tax due after all other credits and liabilities have been applied.

Pre-Certification: all taxpayers applying for the credit must include a letter from the Department of Economic Opportunity certifying the applicant is an eligible target industry business. Certification letters are valid for three years.

Find out more

Swanson Reed is one of the only companies in the United States to exclusively focus on R&D tax credit preparation. Swanson Reed’s has two offices in Florida: Miami (13727 SW 152 Street, Miami) and Orlando (390 North Orange Avenue, Orlando). These two offices locations provide R&D tax credit consulting and advisory services to Jacksonville, Miami, Tampa, Orlando, St. Petersburg, Hialeah, Tallahassee, Fort Lauderdale, Port St. Lucie, Cape Coral, Pembroke Pines, Hollywood, Miramar, Gainesville, Coral Springs, Clearwater, Palm Bay, Miami Gardens, West Palm Beach and Lakeland.

If you have any questions or need further assistance, please call or email our local Florida Partner on (407) 635-8766.
Feel free to book a quick teleconference with one of our Florida R&D tax credit specialists at a time that is convenient for you. Click here for more information about R&D tax credit management and implementation.

Schedule a Teleconference

Florida R&D Tax Credit Filing Instructions

To claim the Research and Development (R&D) tax credit in Florida, eligible businesses, primarily C corporations in specific target industries (such as manufacturing, life sciences, and technology), must first secure a certification letter from the Florida Department of Commerce (FloridaCommerce) confirming their status as a qualified target industry business. This certification is generally valid for up to three years. Once certified, businesses can apply for an allocation of the R&D tax credit with the Florida Department of Revenue (DOR) by filing Form F-1196, Allocation for Research and Development Tax Credit for Florida Corporate Income/Franchise Tax. Applications are typically accepted online between March 20 and March 26 each year for qualified research expenses incurred in the prior calendar year. It’s crucial to note that there’s an annual statewide cap on the total amount of credits awarded, which are distributed on a first-come, first-served basis. Businesses must also have claimed the federal R&D tax credit under IRC Section 41 for the same tax year to be eligible for the Florida credit.