Research allowance consulting in DresdenMoney back for
your development
Whether new products, software or processes: your research and development entitles you to money. The research allowance reimburses a fixed share of your development cost - year after year, regardless of profit and industry. We find out what is in it for you and support you through the application.
of eligible R&D cost as a tax-free allowance - 35% for small and medium-sized enterprises
eligible R&D cost per year (from 2026), worth up to several million euros in allowance
claimable retroactively - including ongoing and already completed projects
technology-open and without a quota - from software houses to manufacturing, any company size
What it is
The most lucrative subsidy that hardly anyone uses
The research allowance is a tax-free subsidy for research and development in German companies. Unlike classic grants, it is a legal entitlement: whoever meets the requirements receives it - no funding pot that runs dry, and no deadline.
What is funded is mainly the personnel cost of your development work. In Dresden and Saxony in particular, with their dense tech and industrial landscape, many companies leave five to six-figure amounts on the table year after year - often because they do not know that their work counts as eligible R&D.
Who gets it?
Almost every developing company is eligible
- Every company taxable in Germany that does its own research and development - from the startup to the established mid-sized company.
- Regardless of industry and size: software and AI, mechanical engineering, microelectronics, medical technology, materials and more. Dresden and Saxony are full of eligible development work.
- Sole proprietors and partnerships too: the owners' own work counts at 70 € per hour (up to 40 hours per week).
What counts
This is eligible
- Wages and salaries of your R&D staff including employer social contributions, in proportion to the time spent on R&D.
- Contract research: a share of the fee you pay to a contractor for research and development.
- From 2026 additionally a 20% overhead flat rate and depreciation on R&D assets.
Dresden and Saxony
Research allowance for companies in Dresden
The allowance is the same across Germany. What stands out in Dresden and Saxony is the density of companies that genuinely develop. These are typical projects from the region that can be eligible:
Microelectronics and semiconductors
New manufacturing processes, measurement and test methods or components around Silicon Saxony - wherever you solve technical problems that have no ready-made solution yet.
Software and AI
New algorithms, architectures or AI methods with an open technical outcome. The normal further development of a product generally does not count.
Mechanical engineering and materials
New materials, processes and equipment whose feasibility you first have to establish through tests and prototypes.
Research with universities and institutes
If you work with TU Dresden, a research institute or another contractor, part of the fee can count as contract research.
Whether a specific project counts is ultimately decided by the BSFZ. We are based in Dresden ourselves and are happy to look at your projects together. For digitalisation projects, also take a look at the digitalisation grant in Saxony.
How it works
Three steps to the research allowance
Clarify eligibility
Together we look at which of your projects qualify as research and development under the law - novelty, technical risk and a systematic approach are the criteria.
BSFZ certificate
For each eligible project, the certifying body for the research allowance (BSFZ) certifies the technical eligibility. This step is free of charge.
Claim at the tax office
With the certificate you claim the research allowance via your tax return (ELSTER). It is offset against your tax or, if no tax is due, paid out.
Research allowance calculator
What could it be worth for you?
Move the sliders to see roughly how high your annual research allowance (Forschungszulage) could be. The basis is your R&D personnel cost.
Estimated research allowance
€60,480
per year
on about €172,800 of eligible R&D cost at a 35% rate
Rough, non-binding estimate based on personnel cost. The overhead flat rate (20%, available from 2026) and contract research are not included and can increase the amount. What counts is the certificate from the BSFZ and the tax office assessment.
FAQ
Common questions
The most important questions about the research allowance for companies in Dresden and Saxony.
Who can claim the research allowance in Dresden?
Any company taxable in Germany that carries out its own research and development - regardless of industry, legal form and size. It is particularly attractive for companies in Dresden and Saxony because a lot of technology-driven development happens here. Sole proprietors and partnerships benefit too, through the creditable own work of the owners.
How high is the research allowance?
It amounts to 25% of the eligible expenses, and 35% for small and medium-sized enterprises on application. The basis is mainly your R&D personnel cost. The calculator above gives you a first idea of what is realistic for you.
Which projects qualify?
Basic research, industrial research and experimental development are funded. What matters is novelty, technical or scientific risk and a systematic approach. Whether a project counts is certified by the certifying body for the research allowance (BSFZ).
Can I claim the research allowance retroactively?
Yes. The allowance can be claimed for the last four years - including ongoing and already completed projects. So it almost always pays to take a closer look.
How does Entreprenerds help with the research allowance?
We check with you which projects are eligible, structure the evidence, support the BSFZ application and the claim at the tax office, and work together with tax advisors and technical experts. That way you get what you are entitled to without getting lost in paperwork.
Can the research allowance be combined with other funding?
In many cases yes. The same costs may not be funded twice, however. Which combination makes sense for you is something we clarify in the first consultation, looking at your specific situation.
First consultation
Claim what
you are owed.
Send us your estimate from the calculator or just write to us. In a first consultation we look at your projects together and tell you honestly what is realistically possible - no jargon, no obligation.