Claim a Tax Credit for Making Your Business ADA Accessible—Online and Offline
When we settle a case and our client agrees to make their premises or website more accesible, we encourage clients to take advantage of the federal tax credit that rewards accessibility investments. Whether you’re upgrading your website, hiring interpreters, or removing physical barriers, your business may be eligible for up to $5,000 in annual tax credits.
What Is the ADA Tax Credit?
The ADA tax credit (IRS Code Section 44) reimburses small businesses for 50% of eligible accessibility expenses above $250, up to a maximum credit of $5,000.
Example: If you invest $1,490 in a web accessibility tool, subtract $250 and take 50% of the remaining $1,240. That’s a $620 tax credit.
Is Your Business Eligible?
You may qualify if your business had:
- Gross receipts of $1 million or less last year, or
- 30 or fewer full-time employees
What Accessibility Costs Are Covered?
Covered expenses include:
- Web accessibility tools and services (e.g., access widgets, page structure fixes, live chat support)
- Sign language interpreters
- Adaptive equipment
- Accessible printed materials (Braille, large print, audio formats)
- Barrier removal in facilities or vehicles
- ADA compliance consulting fees
The IRS recognizes that digital access matters too. If you’ve made your website easier to navigate for users with disabilities, those costs may qualify.
Annual Use and Carryforwards
The ADA tax credit can be claimed each year. While expenses can’t be carried over, any unused credit may be applied to future tax years if it exceeds your current tax liability.
How to Claim the Credit
- Confirm your eligibility using the IRS’s Tax Incentives for Improving Accessibility Fact Sheet.
- Complete IRS Form 8826.
- Attach it to your federal income tax return.
You can find the form and full instructions at irs.gov.
Need Help?
At The Wright Law Firm, we assist New York businesses in understanding ADA compliance and maximizing available tax benefits.