About the Credit: The credit can be calculated using the regular credit or the alternative simplified credit method.

• The regular credit is 6.5% of the lower QRE’s that exceed a base amount or 50% of QRE’s.
• The alternative simplified credit is 4.55% of QRE’s for the past 3 years.

Notes: Companies awarded by the Iowa Economic Development Authority under the Enterprise Zone Program or the High Quality Jobs Program can calculate a Supplemental Research Activities Credit, which is an additional 10% of the company’s qualifying incremental research expense for gross revenue less than $20 million and 3% for a company with gross revenue over $20 million. The Supplemental Research Activities Credit must be calculated using the same method that was used to calculate The Iowa Research Activities Credit.

Swanson Reed is one of the only companies in the United States to exclusively focus on R&D tax credit preparation. Swanson Reed’s office location at 699 Walnut Street, Des Moines, Iowa provides R&D tax credit consulting and advisory services to Des Moines, Cedar Rapids, Davenport, Sioux City, Iowa City, Waterloo, West Des Moines, Ames, Council Bluffs and Dubuque.

If you have any questions or need further assistance, please call or email our local Iowa Partner on (203) 680-9655.
Feel free to book a quick teleconference with one of our Iowa R&D tax credit specialists at a time that is convenient for you.