HI HB1788

Caps the annual tax credit for research activities at $1,500,000 per taxable year for each taxpayer and all related entities as determined under Internal Revenue Code sections 267(b), 414(b), 414(c), and 1563(a)

Excludes research funded by grants, forgivable loans, or other amounts not included in gross income from qualifying as research expenses for credit purposes

Consolidates reporting requirements by requiring qualified high technology businesses to submit specified information by the last day of the third month following the end of each taxable year, including industry sector, revenue/expense data, employment data, intellectual property filings, and new company spinoffs

Changes tax credit certification to first-come, first-served basis based on submission date, with proportional share allocation if multiple businesses submit on the same date and total credits would exceed the $5,000,000 annual cap

Extends the sunset date for the research activities tax credit from December 31, 2024 to December 31, 2029