State program
North Dakota Research and Experimental Expenditures Credit
A tiered credit that is transferable for qualifying early-stage technology companies.
Program overview
North Dakota applies a high rate to the first tranche of excess research spending and a lower rate above it. Certain primary sector businesses that have not yet reached profitability may apply to the Department of Commerce to sell up to a statutory amount of unused credits to another North Dakota taxpayer, providing an immediate cash benefit. The credit follows federal Section 41 definitions applied to research conducted in North Dakota.
Eligibility
Corporations and individuals with qualified research expenses conducted in North Dakota. Credit transfers require certification as a qualified research and development company.
Benefits
Non-refundable credit against North Dakota income tax; transferable for certified early-stage companies.
Find out what your research actually qualifies for
A scoping conversation takes thirty minutes and costs nothing. You leave with a view on eligibility, likely credit range and the documentation you would need.