ScheduleR: ScheduleR (2024)
Wisconsin · Wisconsin DOR · Used for tax years 2024
Wisconsin Schedule R calculates research credits for 2024 and is filed with your Wisconsin tax return. It reports qualified research expenses, credits passed through from other entities, and the refundable and nonrefundable portions of the credit, including unused credits carried
Who files this form
Use 2024 Wisconsin Schedule R to claim Wisconsin research credits for:
- Qualified research activities.
- Qualified research activities related to internal combustion engines.
- Qualified research activities related to certain energy efficient products.
The schedule also includes research credits passed through from other entities. File it with Wisconsin Form 1, 1NPR, 2, 3, 4, 4T, 5S, or 6.
What you'll need
Have the following information ready to complete Schedule R:
- Your name and identifying number.
- Wisconsin research expenses for wages, supplies, computer rental, and contract research.
- Expenses used to compute the federal orphan drug credit that qualify as Wisconsin research expenses.
- Wages included in those expenses that qualify for the Wisconsin development zones credit.
- Wisconsin qualified research expenses for each of the three prior years.
- For passed-through credits, each entity's name, FEIN, and credit amount. Line 15c provides for credits from an additional schedule.
- For fiduciaries, the credit allocated to beneficiaries.
- The credit amount used to offset tax and any prior-year unused research credit.
Include Schedule CF if you report a prior-year unused research credit on line 22 or if the credit on line 23 was not used in full.
How to file
File Schedule R with Wisconsin Form 1, 1NPR, 2, 3, 4, 4T, 5S, or 6.
Include Schedule CF when reporting a prior-year unused research credit on line 22 or when the credit on line 23 was not used in full.
The supplied form does not give a mailing address or e-filing directions.
Common mistakes
- Not rounding amounts: The form says to round amounts to the nearest dollar.
- Using the wrong credit-rate section: If you had no qualified Wisconsin research expenses in one or more of the three prior years, check the box on line 9, skip to line 10, and enter zero there. Do not check a box on line 12. Use line 13 instead.
- Claiming multiple research credits without checking the instructions: The form directs you to the instructions if you claim more than one research credit. Those instructions are not included in the supplied text.
- Continuing past line 16 as a Form 3 or 5S filer: These filers must stop at line 16.
- Leaving out Schedule CF: Include it for the prior-year unused credit on line 22 and if the credit on line 23 was not used in full.
Questions people ask
What credit rates appear on the 2024 schedule?
Line 12 lists 5.75% for qualified research activities and 11.5% for activities related to internal combustion engines or certain energy efficient products. If you had no qualified research expenses in one or more of the three prior years and checked the box on line 9, line 13 instead lists 2.875% for qualified research activities and 5.75% for the other two categories.
How does the schedule use my prior research expenses?
If you had qualified Wisconsin research expenses in all three prior years, add those expenses and divide by three. Line 10 takes 50% of that average, and line 11 subtracts it from your total Wisconsin research expenses on line 8.
Where do I report credits passed through from another entity?
Report the entity's name, FEIN, and credit amount on line 15a or 15b. Enter total credits from an additional schedule on line 15c, then total the passed-through credits on line 15d.
How is the refundable portion calculated?
Line 17 calculates 25% of line 16, or line 16b for a fiduciary. Line 19 subtracts the credit used to offset tax from that same credit total. The refundable portion on line 20 is the smaller of line 17 or line 19. Form 3 and 5S filers stop at line 16.
Where do I report unused research credit from a prior year?
Enter it on line 22 and include Schedule CF.