Energy Research and Development Tax Incentives Act of 1981

Energy Research and Development Tax Incentives Act of 1981 - Amends the Internal Revenue Code to allow a nonrefundable income tax credit for energy research and development expenditures made in the United States. Limits the amount of such credit to 20 percent of the research expenditures in a taxable year which exceed the average amount of such expenditures made during the immediately preceding five taxable years. Defines "research and development" to mean: (1) basic and applied research; (2) exploratory development; (3) technology development; and (4) concept and demonstration development.

Provides for limited carrybacks and carryovers of credit amounts which exceed limitations in any particular taxable year.