Massachusetts · research and development · MA-RD-001
Research Credit
Publication revised September 24, 2026. Sourcebook page 145.
Credit amount / calculation
Credit based on qualified Massachusetts research expenditures under the current statutory method.
Business fit and eligible activity
Qualified Massachusetts research can produce a corporate excise credit. Qualified research activity. Ordinary production, routine quality control and an equipment purchase alone do not qualify.
Illustrative business benefit
Use-of-credit illustration, not an estimated award: assume the agency or completed tax form establishes a $1,000 credit for the qualifying activity described above. If sufficient eligible tax is due, a $1,000 credit available for current use reduces that tax by $1,000. If annual limits allow only $600, that is this year's saving; the other $400 survives only if the carryforward or transfer rules permit. Obtain the actual program calculation before estimating a project benefit.
Timing / first action
Tax-year claim: document the eligible expense, hire or placed-in-service date and meet any separate certification deadline. Identify the technical uncertainty and start contemporaneous project records before trying to calculate the credit.
Official sources
- Massachusetts Department of Revenue - Tax Credits (mass.gov)
- Massachusetts - EDIP (mass.gov)
- Massachusetts Department of Revenue - Tax Credits (michigan.gov)
Related programs
Economic Development Incentive Program Credit
Project-specific negotiated award based on jobs, investment and location.
Project-specific negotiated award based on jobs, investment and location.
Investment Tax Credit
3% of qualifying tangible property; motor vehicles excluded; carryover rules apply.
3% of qualifying tangible property; motor vehicles excluded; carryover rules apply.
Clean Electricity Investment Credit (Internal Revenue Code §48E)
Generally 6% base investment credit and up to 30% with prevailing-wage/apprenticeship...
Generally 6% base investment credit and up to 30% with prevailing-wage/apprenticeship compliance, plus possible statutory bonuses.
Credit for Increasing Research Activities (Internal Revenue Code §41)
Regular research-credit method or the alternative simplified method. The latter generally...
Regular research-credit method or the alternative simplified method.
Rehabilitation Credit (Internal Revenue Code §47)
Generally 20% of qualified rehabilitation expenditures for a certified historic structure...
Generally 20% of qualified rehabilitation expenditures for a certified historic structure, claimed as provided by federal law.