How the Booming Computer and Info Tech Industry in Texas Can Benefit From the R&D Tax Credit
The information and computer tech industry in Texas has been booming since the creation of the semiconductor in 1958 which was followed by the introduction of the handheld calculator by Texas Instruments in 1967.
Now over fifty years later, Texas is home to over 17,600 technology firms, employing over 200,000 workers with an average wage of $96,600.
Dell Computers was founded in Austin in 1984 and has paved the way for many more tech businesses to thrive. Texas now ranks second in the nation for computer and video game employment with over $13,600 workers in the industry. The computer science program at The University of Texas in Austin is top-10 in the nation and employment in computer system design has increased 60% in the last ten years.
The information technology industry received $1.8 million in 2012 from the federal R&D tax credits. The majority of activities being performed in the information and computer tech industry satisfies the IRS’ 4-part test and therefore qualifies for the R&D credit.
The average R&D credit claim amount in 2012 was $694,000. This money can be put back into your business to further promote growth and innovation in the tech industry.
For further information about the federal or state R&D tax credit, please contact a Texas R&D Tax Credit Solutions specialist today.