The ADA Tax Credit: Financial Support for Accessibility Improvements
by Julie | Nov 6, 2025
Most business owners don't realize that the IRS allows for a 50% tax credit as a reimbursement for upgrading your websites to ADA accessibility standards. This means you can claim 50% of accessibility-related expenses that are over $250 on your next year's taxes.
Not only is this required by law, but when you improve your web accessibility to support people with disabilities, you may be able to recover a significant portion of the cost.
Who Qualifies for the ADA Tax Credit?
- You have 30 or fewer full-time employees, or
- Your annual revenue is $1 million or less
- If that’s you, you likely qualify.
The IRS tax credit is filed using Form 8826 (Disabled Access Credit).
How the Tax Credit Works (Simple Breakdown)
This is a tax credit, which directly reduces the amount of tax you owe.
The IRS formula is:
- You can claim 50% of accessibility-related expenses
- Over $250
- Up to $10,250 in total expenses
- Which results in a maximum credit of $5,000
Example 1
You spend $5,000 upgrading your website to be ADA compliant.
$5,000 – $250 = $4,750
You can claim 50% of $4,750 = $2,375 off your taxes.
Example 2
You spend $10,000 on accessibility improvements.
The IRS caps eligible expenses at $10,000
$10,000 – $250 = $9750
50% of $9750 = $4,75 credit
Does the ADA Tax Credit Apply to Websites?
Yes.
Just like the tax credit can apply to:
- Ramps
- Accessible signage
- Interpreters
- Printed materials in Braille
It also applies to digital accessibility improvements such as:
- Website accessibility audits
- Code remediation (correcting structure, labels, navigation, color contrast)
- Making forms, menus, and content screen-reader friendly
- Fixing keyboard navigation issues
- Ensuring ADA-compliant design during new site builds aligned with the Web Content Accessibility Guidelines (WCAG)
Important:
The credit only applies to real accessibility work, meaning actual code fixes.
It does not apply to overlays, toolbars, or widgets because:
- Those do not correct accessibility issues
- They only sit visually on top of the website
- And the IRS only recognizes improvements that resolve access barriers, not temporary band-aids
Why Accessibility Matters Beyond the Tax Benefit
An ADA Compliant Website Helps You:
- Avoid the increasing surge of ADA lawsuits targeting small businesses
- Increase conversions by making your site easier to use for everyone
- Serve the 61+ million Americans with disabilities (and millions more aging users)
- Show your business values inclusivity and customer care
This is not just about compliance.
It’s about not excluding customers.
To find out whether or not your expenditures meet the criteria for this credit and how much of your costs the credit could end up recouping, you’ll need to consult a licensed tax professional.
Get Your FREE Website ADA Audit Today!
Is your website truly accessible and ADA compliant? Don’t wait for a lawsuit to find out! Our FREE Homepage Audit shows exactly where your site may be failing accessibility standards and provides clear steps to fix it.
Get Your Full Website Accessibility Audit
Our full audit identifies accessibility issues, compliance gaps, and opportunities to make your site truly inclusive and eligible for the ADA business tax credit.
Upgrade to a Fully ADA-Compliant Platform
For long-term accessibility, move your site to the Lime ADACompliant Platform. Built to meet ADA & WCAG 2.2 AA standards, it simplifies compliance, lowers maintenance costs.
