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IA

Research Activities Tax Credit (RAC)

Iowa's refundable state tax credit for qualified research and development investments available broadly to Iowa companies; one of few states to offer a refundable research credit; supplemental credits also available through the High Quality Jobs program.

About this program

Visit the program website for full details.

Eligibility

Iowa companies that make qualified research and development investments meeting the qualifications of the federal research credit under IRC Section 41; not available to agriculture producers, contractors, retailers, wholesalers, and certain other sectors.

Requirements

  • Iowa-based business
  • Qualify for the federal research credit under IRC Section 41
  • R&D activities conducted within Iowa