The objective of this research project is to conduct a detailed analysis and evaluation of the potential introduction of a patent box regime in Germany. Against the backdrop of international experiences and existing R&D support instruments – such as the German R&D tax credit (Forschungszulage) – the project examines how preferential tax treatment for income from intellectual property should be designed to sustainably enhance Germany's attractiveness as a business and research location while keeping fiscal costs within reasonable limits. Specifically, the study investigates various design options and their interaction with tax law and already existing (tax) subsidies, the potential economic effects on innovation performance, investment, and employment in key industries, as well as the direct and indirect impacts on tax revenues.