Alternative qualified research activities credit
(1) A credit against taxes otherwise due under this chapter shall be allowed for qualified research expenses that exceed 10 percent of Oregon sales.
(2) For purposes of this section:
(a) “Oregon sales” shall be computed using the laws and administrative rules for calculating the numerator of the Oregon sales factor under ORS 314.665 (Determination of sales factor).
(b) “Qualified research” has the meaning given the term under section 41(d) of the Internal Revenue Code and shall consist only of research conducted in Oregon.
(3) The credit under this section is equal to five percent of the amount by which the qualified research expenses exceed 10 percent of Oregon sales.
(4) The credit under this section shall not exceed $10,000 times the number of percentage points by which the qualifying research expenses exceed 10 percent of Oregon sales.
(5) The maximum credit under this section may not exceed $1 million.
(6) A deduction may not be taken for the portion of expenses or payments, otherwise allowable as a deduction, that is equal to the amount of the credit claimed under this section.
(7) Any tax credit that is otherwise allowable under this section and that is not used by the taxpayer in that year may be carried forward and offset against the taxpayer’s tax liability for the next succeeding tax year. Any credit remaining unused in such next succeeding tax year may be carried forward and used in the second succeeding tax year, and likewise any credit not used in that second succeeding tax year may be carried forward and used in the third succeeding tax year, and any credit not used in that third succeeding tax year may be carried forward and used in the fourth succeeding tax year, and any credit not used in that fourth succeeding tax year may be carried forward and used in the fifth succeeding tax year, but may not be carried forward for any tax year thereafter. [1989 c.911 §4; 1995 c.746 §10; 2001 c.660 §51; 2003 c.739 §13; 2005 c.832 §52; 2011 c.730 §9; 2013 c.750 §38]
Note: Section 6, chapter 911, Oregon Laws 1989, provides:
Sec. 6. ORS 317.152 (Qualified research activities credit) to 317.154 (Alternative qualified research activities credit) [series became 317.152 (Qualified research activities credit), 317.153 (Qualified research activities) and 317.154 (Alternative qualified research activities credit)] apply to amounts paid or incurred in tax years beginning on or after January 1, 1989, and before January 1, 2018. [1989 c.911 §6; 1995 c.746 §14; 2001 c.548 §1; 2003 c.739 §15; 2005 c.94 §86; 2011 c.730 §7]
3 OregonLaws.org assembles these lists by analyzing references between Sections. Each listed item refers back to the current Section in its own text. The result reveals relationships in the code that may not have otherwise been apparent.