ROI on R&D tax credits

Since 2012,  Pew Charitable Trusts has reviewed the effect of R&D tax incentives. Do the tax credits spur innovation? Not really, but some think the tax credits scatter innovation into other states. A study of 3 incentive programs in Virginia found the credits insignificant to meaningful impact on R&D in the state. A study in Arkansas found that R&D tax incentives are a long term investment by the state and short term benefits are not an appropriate measurement. Florida concurs with Arkansas.

Governing | States Spend Big on R&D Tax Credits. Are They Paying Off?