2.604 -Research Credit

Item	Description	FY2008	FY2009	FY2010
2.604	Research Credit Corporations are entitled to a credit against tax for research and development expenditures. The amount of the credit is equal to the sum of 10% of qualified research expenses each year in excess of a base amount, and 15% of basic research payments, in excess of a base amount. The credit is limited to the first $25,000 of excise plus 75% of any excise in excess of $25,000. Unused credits may be carried over to subsequent years. Effective January 1, 1995, qualified defense corporations may calculate this credit separately for defense related research expenditures and non-defense-related expenditures. Origin: M.G.L. c. 63, S. 38M Estimate: $91.2	99.1	94.1	91.2

Key:

ORIGIN
IRC	Federal Internal Revenue Code (26 U.S.C.)
M.G.L.	Massachusetts General Laws
U.S.C	United States Code
ESTIMATES	All estimates are in $ millions.