SB3394 Summary

• Makes the research and development (R&D) tax credit permanent on a statewide basis.

• Extends the R&D credit carryforward period from 5 years to 20 years for unused credits.

• Lowers the qualifying expenditure threshold from 100% to 50% of the base period average, making it easier for businesses to claim the credit.

• Adds exemption from Section 250 provisions for the R&D credit to protect it from certain limitations.