R&D Basics Exam Questions Flashcards
LB/I
Large Business or International
$10 million or more in assets
SB/SE
Small Business or Self Employed
Less than $10 million in assets
What revenue procedure allows for the use of statistical sampling?
2011-42
What is a 280C Election? When must it be made?
Allows a taxpayer to elect a reduced credit amount thereby eliminating the requirement to deduct qualified research expenditures claimed for R&D credit.
The election must be made on a timely filed original return. You then reduce the credit amount by the current corporate tax rate in lieu of having to do the add back. Current corporate tax rate is 21%.
The add back is when you add the dollar amount of your credit into your taxable income. Add back is made on an amended return.
ZMF
Zerbe, Miller, Fingeret, Frank & Jadav
Two elements for a funded contract
Economic Risk & Substantial Rights
Patent Safe Harbor Rule
1.41-4(a)(3)(iii)
The issuance of a patent is conclusive evidence that you have met three out of four elements of the 4-part test. The element you don’t inherently meet is the POE.
Raving Fan
- Testimonial
- Referral
- Follow-Up Engagement
Core Values
Investment: invests time and resources into their own work product, practice area, and professional development of team members.
Raving Fans: Committed to creating raving fans with all interactions. Treats every interaction as an opportunity to provide superior client experience.
Energy & Passion: Demonstrates high level of energy in the carrying out of day-to-day activities.
Active not Passive: Proactively drives resolution to issues and problems. Actively pursues solutions through collaboration with management and peers.
High Performance: Consistently delivers results exceeding expectations in quantifiable metrics specific to the position held.
Urgency: demonstrates a high level or urgency in execution of day-to-day activities. Is responsive to correspondence (both internal and external), assignments, and corresponding results (both positive and negative).
Transparency: demonstrates transparency in all activities. Communicates openly with project team, BD, and client relations teams to effectively provide updates on project status, personnel, and other issues.
Start-Up Fixed Base Calculations
- 1-5 years is 3%
*6th year is 1/6th of the (agg. QREs/agg.GRs) of years 4-5.
*7th year is 2/6th of the (agg. QREs/agg.GRs) of years 5-6.
*8th year is 3/6th of the (agg. QREs/agg.GRs) of years 5-7.
*9th year is 4/6th of the (agg. QREs/agg.GRs) of years 5-8.
*10th year is 5/6th of the (agg.QREs/agg.GRs) of years 5-9.
*11+ years–best of 5 among the 5th through 10th taxable years.
ERC qualifications
- Significant Decline in Gross Receipts
- Full or Partial Suspension to Business Operations Due to Governmental Order
SOL Table
C-Corp
- 4/15 extended 10/15
- 9/15 extended 4/15 [6/15 FYE]
S-Corp
- 3/15 extended 9/15
- 15th day of 3rd month after FYE extended 15th day of the 9th month after FYE
Partnership
- 3/15 extended 9/15
- 15th day of 3rd month after FYE extended 15th day of the 9th month after FYE
Individual
- 4/15 extended 10/15
2848
POA and Declaration of Representative
3800
General Business Credit Form
- List all the credits in addition to 6775
- Where you can see carry-backs and carry-forwards
4564
Information Document Request
5701
Notice of Proposed Adjustment
179D
Energy Efficient Commercial Buildings Deduction
- Owner of a commercial building
- Primary designer of energy efficient property owned by tax-exempt entity.
Property which is installed as part of:
- the interior lighting systems,
- the heating, cooling, ventilation, and hot water systems, or
- the building envelope
alliantNational
group of tax experts such as former IRS executives, congressional staffers, LLM attorneys, and litigators–specialize in helping U.S. businesses navigate complex tax matters, offering both representation and support on federal and international matters. Headed by former IRS Commissioners.
