Tax incentives for IT startups

Frequently startups do not have "tax appetite" in the beginning, but there will be a stage when tax considerations may be significant depending on the nature of your business. Early stage issues involving proximity to customers / clients, resources, and talent are more important drivers in early business location decisions. Federal tax incentives for research & development, hiring, and physical expansion are typically available anywhere in the US. However, unlike federal opportunities each state has its own incentives regime and focus on specific industries and economic development needs, and consequently these state incentives, tax and otherwise, are more dependent on the nature of your business.