Strengthens Hawaii's research activities tax credit by removing federal base-amount calculation and increasing annual cap.

This bill aims to bolster Hawaii's research activities tax credit by allowing taxpayers to claim credits for all qualified research expenses without reduction for prior-year spending and increasing the annual statewide cap from $5,000,000 to $15,000,000. The bill removes the federal base-amount calculation, encouraging companies to expand their research activities year after year without being penalized for prior investments. This change is expected to attract and retain technology companies, create high-paying jobs, and support an economy in which Hawaii's families can thrive.

Strengthens Hawaii's research activities tax credit by removing federal base-amount calculation and increasing annual cap.

This bill aims to bolster Hawaii's research activities tax credit by allowing taxpayers to claim credits for all qualified research expenses without reduction for prior-year spending and increasing the annual statewide cap from $5,000,000 to $15,000,000. The bill removes the federal base-amount calculation, encouraging companies to expand their research activities year after year without being penalized for prior investments. This change is expected to attract and retain technology companies, create high-paying jobs, and support an economy in which Hawaii's families can thrive.