IRS Mulling Tweak to Panned R&D Tax Credit Form Requirement

The IRS is evaluating possible changes to its research and development tax credit reporting form to reduce administrative burden, an agency official said Tuesday.

The upcoming requirement to break down R&D spending by “business component” under IRS Form 6765’s Section G is “still being evaluated,” and taxpayers “might see changes to it again to try to reduce burden,” IRS senior adviser David Hudson said at a Tax Executives Institute event.

Practitioners and taxpayers have criticized the requirement, as such reporting needs spending to be tracked at a granular level for hundreds, or even thousands, of business components.

Hudson said ...