South Carolina R&D Tax Credit

The South Carolina Research Expenses Credit sits under the South Carolina Department of Revenue and rewards qualified research spending conducted in South Carolina. It is a state income tax credit for for-profit businesses, and it works alongside the federal R&D credit rather than replacing it. The benefit is annual, nonrefundable, and tied to tax liability rather than cash funding. The credit equals 5% of qualified South Carolina research expenses and is capped at 50% of the taxpayer's South Carolina income tax liability in a single year. Unused amounts can carry forward for 10 years, but the same expenses cannot be counted again under the federal R&D credit computation. Claims are filed through the state tax system, so clean expense tracking matters as much as the underlying research work. The strongest fit is a company already documenting federal-style research activity and able to isolate the South Carolina portion with precision. Businesses with recurring experimental spending, clear payroll and supply records, and enough state tax exposure to absorb the credit are best positioned to use it efficiently. Because it is a statutory offset, the program rewards disciplined tax preparation and stable accounting more than narrative persuasion.

Each grant below is a distinct funding opportunity with its own eligibility, scope, and deliverables.