3D Printer = R&D Tax Exemption in Florida

Are you a business based in Florida who is looking for a new 3D printer or 3D scanner?  Well, you are in good fortune this year as the Florida Department of Revenue is looking out for your growth.

Cliff Notes version:

If you use your equipment for R&D more than 50% of the time in FL, then it is tax exempt.

Here is the exact text from their website:

Exemption for Machinery and Equipment Used for Research and Development

(a) Machinery and equipment used predominantly for research and development as defined in this subsection are exempt from the tax imposed by this chapter.

(b) For purposes of this subsection:

    1. “Machinery and equipment” includes, but is not limited to, molds, dies, machine tooling, other appurtenances or accessories to machinery and equipment, testing and measuring equipment, test beds, computers, and software, whether purchased or self-fabricated, and, if self-fabricated, includes materials and labor for design, fabrication, and assembly.
    2. “Predominantly” means at least 50 percent of the time.
    3. “Research and development” means research that has one of the following as its ultimate goal:
      1. Basic research in a scientific field of endeavor;
      2. Advancing knowledge or technology in a scientific or technical field of endeavor;
      3. The development of a new product, whether or not the new product is offered for sale;
      4. The improvement of an existing product, whether or not the improved product is offered for sale;
      5. The development of new uses of an existing product, whether or not a new use is offered as a rationale to purchase the product; or
      6. The design and development of prototypes, whether or not a resulting product is offered for sale.

      The term “research and development” does not include ordinary testing or inspection of materials or products used for quality control, market research, efficiency surveys, consumer surveys, advertising and promotions, management studies, or research in connection with literary, historical, social science, psychological, or other similar nontechnical activities.


      References:
Section 212.08(18), F.S., and Rule 12A-1.043, F.A.C.

Need some more guidance? 

No worries, 3DChimera is here to help.  Don't hesitate to reach out to alex@3dchimera.com with any specific questions for your application.

 

 


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