The tax incentive will be probable less attractive for large companies, as the calculation basis of eligible expenses are restricted to two million euros. The maximum funding amount is 500,000 euros (25 per cent).

In the opinion of Andreas Barner, president of the Stifterverband , the Government's new law is nevertheless an important, positive signal for Germany as a location for innovation. With the funding there would be created the right framework conditions to exploit the research potential of small and medium-sized companies as is said in a today's press release.

In contrast to the Stifterverband, the Working Group of Industrial Research Associations "Otto von Guericke" e.V. considers small and medium-sized businesses to be disadvantaged and criticizes that contract costs are not included in the draft bill.  Small and medium-sized enterprises often do not have their own research department. This means that companies without their own research personnel would not be able to profit at all because they are ineligible in their role as clients and most of their research partners - universities, colleges and non-university research institutions - are excluded from funding.

Source:
https://idw-online.de/de/news716170
https://idw-online.de/de/news716357