OR-RESEARCH: Schedule OR-RESEARCH, Research and Development for Semiconductor Companies Credit (2024)
Oregon · Oregon DOR · Used for tax years 2024
2024 Schedule OR-RESEARCH calculates Oregon’s Research and Development for Semiconductor Companies Credit using basic research payments and qualified research expenses paid or incurred in Oregon. It also calculates the refundable and nonrefundable portions of the credit.
Who files this form
Use 2024 Schedule OR-RESEARCH to claim Oregon’s Research and Development for Semiconductor Companies Credit. The form says to include this schedule with your Oregon tax return or your credit may be denied.
What you'll need
Have the information requested on the schedule ready:
- Your legal name as shown on your return and your FEIN or SSN, as applicable.
- Your number of Oregon employees at year-end.
- Basic Oregon research payments to qualified organizations and the base period amount.
- Current-year qualified research expenses in Oregon, your fixed-base percentage, and average Oregon gross receipts.
- Prior three years’ qualified research expenses in Oregon, if applicable to your calculation.
- The credit amount certified by the Oregon Business Development Department (OBDD).
- The refund percentage based on your number of Oregon employees.
The form refers to instructions for several of these entries, but those instructions were not provided.
How to file
Include the completed Schedule OR-RESEARCH with your Oregon tax return.
- Enter the refundable portion from line 23 as a refundable credit on the appropriate Oregon schedule for your filing type.
- Enter the nonrefundable portion from line 24 as a carryforward credit on the appropriate Oregon schedule for your filing type.
The supplied form does not give a mailing address or e-filing directions.
Common mistakes
- Leaving out the schedule. The form warns that your credit may be denied if you do not include it with your Oregon tax return.
- Including research amounts paid or incurred outside Oregon. Parts I, II, and III say to include only amounts paid or incurred in Oregon.
- Ignoring the form’s preparation reminders: use UPPERCASE letters, use blue or black ink, and print at actual size (100%). Do not submit photocopies or use staples.
Questions people ask
Can I include research expenses from outside Oregon?
No. Parts I, II, and III say to include only amounts paid or incurred in Oregon.
Is there a limit tied to my certified credit amount?
Yes. Line 17 uses the credit amount certified by OBDD or $4 million, whichever is less. Your research tax credit is then the lesser of line 17 and the applicable calculated amount on line 16 or line 19.
Is the entire credit refundable?
The form divides the credit into refundable and nonrefundable portions. Line 23 calculates the refundable portion using a percentage based on your number of Oregon employees. Line 24 calculates the remaining nonrefundable portion. The supplied form does not list the refund percentages.
What is the maximum fixed-base percentage I can enter?
Line 5 says to enter no more than 16% and to round the percentage to four decimal places.