Instructions for Form 6765

Instructions for Form 6765

(Rev. December 2025)

Credit for Increasing Research Activities

(For use with the January 2025 revision of Form 6765)

Section references are to the Internal Revenue Code unless

otherwise noted.

Future Developments

For the latest information about developments related to

Form 6765 and its instructions, such as legislation enacted

after they were published, go to IRS.gov/Form6765.

What’s New

Section G—Business Component Information. For tax

years beginning before 2026, Section G will be optional for all

filers. If filing an amended return, see Research Credit Claims

on Amended Returns, later.

For tax years beginning after 2025, Section G will be

required, subject to the guidelines in Section G—Business

Component Information. If filing amended returns, see

Research Credit Claims on Amended Returns, later.

Domestic research and experimental expenditures. P.L.

119-21, commonly known as the One Big Beautiful Bill Act,

added new section 174A to the Internal Revenue Code.

Section 174A(a) allows taxpayers to deduct amounts paid or

incurred for domestic research and experimental

expenditures in tax years beginning after December 31,

2024. Alternatively, under section 174A(c), a taxpayer may

elect to charge such expenditures to a capital account and

amortize such expenditures ratably over a period of not less

than 60 months, beginning with the month in which the

taxpayer first realizes benefits from such expenditures. In

addition, section 70302(f) of P.L. 119-21 provides taxpayers

with various transition options that may be applied to recover

unamortized amounts paid or incurred in tax years beginning

after December 31, 2021, and before January 1, 2025, that

were capitalized and amortized for such tax years. See Rev.

Proc. 2025-28 for information regarding the transition options

contained in section 70302(f) of P.L. 119-21, as well as the

procedures to follow to begin applying either section 174A(a)

or (c) for the taxpayer’s first tax year beginning after

December 31, 2024.

Reminders

Section 280C election. The reduced credit election under

section 280C is made at the top of the Form 6765 on Item A.

Check “Yes” to elect or “No” to not elect the section 280C

reduced credit on your original timely filed return, including

extensions. See Item A—Section 280C Election, later.

Members of controlled group or business under common control. Item B asks if you are a member of a

controlled group or business under common control and

requires an attachment to Form 6765 if you checked “Yes.”

See Item B—Controlled Group/Common Control, later.

Section E—Other Information. If you have reported

Qualified Research Expenses (QREs) on line 48, you must

complete Section E. See Section E—Other Information, later.

Feb 6, 2026

ASC 730 Directive. If you are eligible and choose to follow

this directive, check “Yes” on line 41. See the instructions for

Line 41, later.

Section F—Qualified Research Expenses Summary. In

this section, indicate if you are required to complete

Section G and enter your total QREs on each applicable line.

See Section G—Business Component Information, later.

Naming conventions for attachments if you e-file. For

lines that mention an attachment, use the naming convention

described in the Specific Instructions section. For example,

the naming convention for the attachment for Item

A—Section 280C Election is

“Form6765ItemASection280C.pdf.”

Payroll tax credit. The maximum amount of payroll tax

research credit a qualified small business can apply against

payroll tax liability is $500,000. See Payroll Tax Credit

Election, later.

Research credit claims on amended returns. If you are

claiming a refund or credit on an amended return or an

administrative adjustment request (AAR) that includes a

section 41 credit for increasing research activities, you must

also provide specific information for your claim to be

considered valid. See Research Credit Claims on Amended

Returns, later.

Partners of Bipartisan Budget Act (BBA) Partnership.

See Partners of BBA Partnership, later, for more information

about adjustments to credits.

General Instructions

Purpose of Form

Use Form 6765 to figure and claim the credit for increasing

research activities, to elect the reduced credit under section

280C, and to elect to claim a certain amount of the credit as a

payroll tax credit against the employer portion of social

security taxes.

Partnerships and S corporations must file this form to

claim the credit. All others are generally not required to

complete or file this form if their only source for this credit is a

partnership, S corporation, estate, or trust. Instead, they can

report this credit directly on Form 3800, General Business

Credit. However, if you are an estate or trust, the credit can

be allocated to beneficiaries. For more details, see the

instructions for Schedule K-1 (Form 1041), box 13.

Note: Corporations filing an amended return to claim a credit

or refund of the research credit, see Notice 2008-39, 2008-13

I.R.B. 684, available at IRS.gov/irb/

2008-13_IRB#NOT-2008-39, for information on where to file.

Instructions for Form 6765 (Rev. 12-2025) Catalog Number 13701S

Department of the Treasury Internal Revenue Service www.irs.gov

Definitions

Qualified Research

The research credit is generally allowed as a percentage of

qualified research expenses over the base amount.

“Qualified research expenses” are the sum of in-house

research expenses and contract research expenses paid or

incurred by the taxpayer in carrying on any trade or business

of the taxpayer. Qualified research generally means research

(1) with respect to which expenditures are treated as

domestic research or experimental expenditures under

section 174A, (2) which is undertaken for the purpose of

discovering information that is technological in nature, (3) the

application of which is intended to be useful in the

development of a new or improved business component of

the taxpayer, and (4) substantially all of the activities of which

constitute elements of a process of experimentation relates

to a new or improved function, performance, or reliability or

quality. These requirements are commonly referred to as the

“four-part test.” The four-part test must be applied separately

with respect to each business component of the taxpayer.

In addition, substantially all of the activities of the research

must be elements of a process of experimentation relating to

a new or improved function, performance, reliability, or

quality. The four-part test must be applied separately with

respect to each business component of the taxpayer.

Excluded activities. The research credit isn’t allowed for

the following types of activities.

• Research conducted after the beginning of commercial

production.

• Research adapting an existing product or process to a

particular customer’s need.

• Duplication of an existing product or process.

• Surveys or studies.

• Research relating to certain internal-use computer

software.

• Research conducted outside the United States or a U.S.

territory, such as Puerto Rico.

• Research in the social sciences, arts, or humanities.

• Research funded by another person (or governmental

entity).

If you incur qualified clinical testing expenses relating to

drugs for certain rare diseases, you can elect to claim the

orphan drug credit for these expenses instead of the

research credit. See Form 8820, Orphan Drug Credit.

See section 41 and Regulations sections 1.41-2 and

1.41-4 for other definitions and special rules.

Business Component

A business component is any product, process, computer

software, technique, formula, or invention which is to be held

for sale, lease, or license, or used by the taxpayer in a trade

or business of the taxpayer. Any plant process, machinery, or

technique for commercial production of a business

component is treated as a separate business component

(and not as part of the business component being produced).

For purposes of simplified reporting on this form, the options

for business component type, for column 49(d), are “Product,”

“Process,” or “All Others.”

Research With Respect to Software

Research with respect to software that is developed by, or for

the benefit of, the taxpayer primarily for the taxpayer’s internal

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use, referred to as internal use software, is eligible for the

research credit only if:

1. Research with respect to software is qualified

research. See Qualified Research, earlier;

2. Research with respect to software is not otherwise

excluded, see Excluded activities, earlier; and

3. The software satisfies the high-threshold-of-innovation

(HTI) test. Software satisfies the HTI test, if the taxpayer can

establish that:

a. The software is innovative;

b. The software development involves significant

economic risk, where the taxpayer commits substantial

resources to the development and there is substantial

uncertainty, because of technical risk, that those resources

would be recovered within a reasonable period; and

c. The software is not commercially available for use by

the taxpayer in that the software cannot be purchased,

leased, or licensed and used for the intended purpose

without modifications meeting both a and b requirements.

See Regulations section 1.41-4(c)(6)(vii).

Internal use software (IUS). IUS is software developed by,

or for the benefit of, the taxpayer primarily for the taxpayer’s

internal use if the software is developed for use in general

and administrative functions that facilitate or support the

conduct of the taxpayer’s trade or business. General and

administrative functions are financial management, human

resources management, and support services functions. See

Regulations section 1.41-4(c)(6)(iii)(B) for examples of

general and administrative functions and Regulations section

1.41-4(c)(6)(viii) for illustrations.

Dual function software (DFS). DFS is software developed

by, or for the benefit of, the taxpayer both for use in general

and administrative functions that facilitate or support the

conduct of the taxpayer’s trade or business and to enable a

taxpayer to interact with third parties or to allow third parties

to initiate functions or review data on the taxpayer’s system.

DFS is presumed to be developed primarily for a taxpayer’s

internal use and is subject to the same requirements as IUS.

The regulations provide a way for the taxpayer to

overcome the presumption that the DFS is for the taxpayer’s

internal use to the extent that a taxpayer can identify a

third-party subset, which is the subset of elements of DFS

that only enables a taxpayer to interact with third parties or

allows third parties to initiate functions or review data on the

taxpayer’s system. Such third-party subset is not IUS and not

subject to the HTI test. However, the remaining software

(dual function subset) is still treated as IUS and must satisfy

the HTI test. See Regulations section 1.41-4(c)(6)(vi).

As a safe harbor, a taxpayer may, after attempting to

identify the third-party subset, include 25% of the remaining

QREs of DFS or a subset of DFS elements (also known as

dual function subset) in computing the amount of the

taxpayer’s credit. Additional conditions must be met. See

Regulations section 1.41-4(c)(6)(vi)(C).

Excepted from IUS treatment. See Regulations section

1.41-4(c)(6)(ii) for three exceptions to the applicability of the

HTI test for IUS.

Non-IUS. Software is not developed primarily for the

taxpayer’s internal use if it is not developed for use in general

and administrative functions that facilitate or support the

conduct of the taxpayer’s business, such as:

Instructions for Form 6765 (December 2025)

• Software developed to be commercially sold, leased,

licensed, or otherwise marketed to third parties; or

• Software developed to enable a taxpayer to interact with

third parties or to allow third parties to initiate functions or

review data on the taxpayer’s system.

When completing Section G, line 49(e), if the business

component is software, select only from the following

categories.

A. IUS—internal use software

B. DFS—dual function software

1. Where no third-party subset is identified, DFS safe

harbor isn’t applied.

2. Where third-party subset(s) is identified (remaining

dual function subset subject to HTI test).

3. With the safe harbor applied (25% of expenses

that meet all conditions).

C. Excepted from IUS treatment

1. Where taxpayer developed software for use in an

activity that constitutes qualified research.

2. Where taxpayer developed software for internal

use in a production process to which the requirements of

section 41(d)(1) are met.

3. Where a new or improved package of software and

hardware developed together by the taxpayer as a single

product (or to the costs to modify an acquired software

and hardware package), of which the software is an

integral part, that is used directly by the taxpayer in

providing services in its trade or business. In these

cases, eligibility for the research credit is to be

determined by examining the combined

hardware-software product as a single product.

D. Non-IUS

1. Developed to be commercially sold, leased,

licensed, or otherwise marketed to third parties.

2. Developed to be used internally by the taxpayer

but not in any general and administrative function(s) of

the taxpayer.

3. Developed to interact with third parties but not to

be used in any general and administrative function.

“80%/Top 50” business components. If you are required

to complete Section G, you must report by business

component, a minimum of 80% of total QREs or a maximum

of 50 business components. In these instructions, this is

referred to as the “80%/Top 50” business components.

Business components should be listed in descending order

by QRE amount.

Aggregate Business Components. Any business

components remaining after identifying the 80%/Top 50

business components will be reported in aggregate by

entering “Aggregate Business Components” in column 49(c)

and the applicable aggregate amounts for columns 50

through 56; leave all other columns in Section G blank. This

will be referred to as the “Aggregate Business Components”

in these instructions.

Eligible Small Business (For Purposes of

Offsetting AMT Only)

An eligible small business is:

• A corporation whose stock isn’t publicly traded,

• A partnership, or

• A sole proprietorship.

Instructions for Form 6765 (December 2025)

The average annual gross receipts of the corporation,

partnership, or sole proprietorship for the 3-tax-year period

preceding the tax year of the credit can’t exceed $50 million.

Gross receipts for any tax year must be reduced by returns

and allowances made during the year. Any reference to your

business also includes a reference to any predecessor of

your business. If your business wasn’t in existence for the

entire 3-year period, base your average annual gross receipts

on the period your business existed. Also, if your business

had a tax year of less than 12 months, your gross receipts

must be annualized by multiplying the gross receipts for the

short period by 12 and dividing the result by the number of

months in the short period.

Note: Gross receipts must meet the definition under section

448(c)(2) and (3) and Regulations section 1.448-1T(f)(2)(iv).

Member of controlled group, trade or business under

common control, or affiliated group. For purposes of the

gross receipts test, all members of a controlled group of

corporations (as defined in section 52(a)) and all members of

a group of trades or businesses under common control (as

defined in section 52(b)) are treated as a single employer;

and all employees of the members of an affiliated service

group (as defined in sections 414(m) and (o)) shall be treated

as employed by a single employer.

Treatment of partners and S corporation

shareholders. A partner or S corporation shareholder can’t

be treated as an eligible small business unless both the

partnership or S corporation and the partner or S corporation

shareholder meet the gross receipts test, as discussed under

Eligible Small Business (For Purposes of Offsetting AMT

Only), earlier, for the tax year that the credit is treated as a

current year general business credit.

Qualified Small Business (Payroll Tax Credit

Election)

A qualified small business is a corporation (including an S

corporation) or partnership with:

1. Gross receipts of less than $5 million for the tax year,

and

2. No gross receipts for any tax year before the 5-tax-year

period ending with the tax year.

Any other person may be considered a qualified small

business if the person meets the requirements of (1) and (2),

taking into account the aggregate gross receipts received in

all the trades or businesses.

The term “gross receipts” for purposes of determining

whether your business is a qualified small business means

gross receipts, as determined under section 448(c)(3)

(without regard to subparagraph (A) thereof) and Regulations

sections 1.448-1T(f)(2)(iii) and (iv). The definition of gross

receipts under section 41(c)(6) and Regulations section

1.41-3(c) doesn’t apply for this purpose. Any reference to

your trade or business also includes a reference to any

predecessor of your trade or business. Also, if your trade or

business had a tax year of less than 12 months, your gross

receipts must be annualized by multiplying the gross receipts

for the short period by 12 and dividing the result by the

number of months in the short period.

A qualified small business doesn’t include a tax-exempt

organization under section 501.

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Payroll Tax Credit Election

The payroll tax credit election is an annual election made by

a qualified small business specifying the amount of research

credit, not to exceed $500,000, that may be used against the

employer portion of social security liability. The credit is the

smallest of the current year research credit, an elected

amount not to exceed $500,000, or the general business

credit carryforward for the tax year (before the application of

the payroll tax credit election for the tax year). The general

business credit carryforward limitation doesn’t apply to

partnerships or S corporations. The election must be made

on or before the due date of the originally filed income tax

return (including extensions). An election can’t be made for a

tax year if an election was made for 5 or more preceding tax

years. The election made by a partnership or S corporation is

made at the entity level. Any election to take the payroll tax

credit may be revoked only with the consent of the IRS. For

more information about the payroll tax credit, see Notice

2017-23, 2017-16 I.R.B. 1100, available at IRS.gov/irb/

2017-16_IRB#NOT-2017-23.

Claiming the credit on an employment tax return. A

qualified small business that elects to claim the payroll tax

credit will claim the payroll tax credit against the employer’s

portion of social security tax on its employment tax return for

the first quarter that begins after it files the return reflecting

the payroll tax election. See Notice 2017-23 for more

information. A qualified small business claiming the payroll

tax credit on its employment tax return must complete Form

8974, Qualified Small Business Payroll Tax Credit for

Increasing Research Activities, and attach the completed

form to the employment tax return.

Special Rules

See section 41(f) and Regulations sections 1.41-6 and

1.41-7 for special rules related to:

• Aggregation of expenses for members of controlled groups

and businesses under common control;

• Allocation of the credit by partnerships, estates, and trusts;

• Adjustments, if a major portion of a business is acquired or

disposed of; and

• Short tax years.

For special rules concerning the allocation and

apportionment of research and experimental expenses

between U.S. and foreign source income, see sections 861

through 864.

Member of Controlled Group of

Corporations or Group of Trades or

Businesses Under Common Control

(Controlled Group)

For purposes of figuring the credit, all members of a

controlled group of corporations (as defined in section 41(f)

(1)(A) and (f)(5)) and all members of a group of trades or

businesses under common control (as defined in section

41(f)(1)(B) and Regulations section 1.41-6(a)(3)(ii)) are

treated as a single taxpayer. Use Section A or B to figure the

credit for the entire group. As a member, your credit is

determined on a proportionate basis to your share of the

aggregate QREs for increasing research activities taken into

account by the group for the research credit.

If a member of a controlled group has filed its return using

a method different from that of the designated member, then

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that member should file an amended return to conform to the

designated member’s method.

A member of a controlled group can’t make an alternative

simplified credit (ASC) election in a tax year on an amended

return if any member of the controlled group for that tax year

previously claimed the research credit using a method other

than the ASC on an original or amended return for that year.

For additional rules regarding the election (or revocation of

the election) of the ASC in Section B by a controlled group of

corporations, see Regulations section 1.41-6.

Attach a statement showing how your share of the credit

was figured; see Item B—Controlled Group/Common

Control, later, for the required Item B attachment categories.

For purposes of the reduced credit election, a member of

a controlled group may make the election under section

280C. However, only the common parent (within the meaning

of Regulations section 1.1502-77(a)(1)) of a consolidated

group may make the election on behalf of the members of a

consolidated group.

For purposes of the payroll tax credit election, all members

of the same controlled group are treated as a single taxpayer.

Thus, the aggregate gross receipts of all members of such a

group must be taken into account in determining whether a

business is a qualified small business. See Qualified Small

Business, earlier. In addition, a member of such a group may

not make a payroll tax credit election if the member (or any

other member of the member’s group) has made a payroll tax

credit election for 5 or more preceding tax years.

Each member of a controlled group separately makes the

payroll tax credit election. The amount that each member of

the group can separately elect is limited to the least of (a) the

electing member’s allocable share of the group credit

(determined under the rules discussed above); (b) the

electing member’s allocable share of the $500,000 amount;

or (c) in the case of an electing member other than a

partnership or S corporation, the amount of the electing

member’s business credit carryforward under section 39

carried from the tax year (determined before the application

of the payroll tax credit election for the tax year). The

$500,000 amount is allocated to each member of the group,

regardless of whether all members of the group make the

payroll tax credit election, on a proportionate basis to each

member’s share of the aggregate of the QREs taken into

account for the tax year by the group for purposes of the

credit.

Specific Instructions

You can:

• Claim the regular credit in Section A, or

• Elect the alternative simplified credit (ASC) in Section B.

You may want to figure your credit using both of the

methods for which you are eligible to get the maximum credit

allowed.

Once elected, the ASC applies to the current tax year and

all later years. A current tax year’s ASC election may not be

revoked. You may revoke the election for a later tax year by

completing Section A relating to the regular credit and

attaching the Form 6765 to your timely filed (including

extensions) original return for the year to which the revocation

applies. See Regulations section 1.41-9(b)(3).

After figuring your credit, you can elect to treat a portion of

the credit as a payroll tax credit. Complete Section D to

Instructions for Form 6765 (December 2025)

determine the payroll tax credit portion. Taxpayers other than

partnerships and S corporations must complete Form 3800

before completing Section D.

Item A—Section 280C Election

You must check “Yes” to elect or “No” to not elect the section

280C reduced credit on your original timely filed return,

including extensions.

If you are electing the reduced research credit, you must

complete Form 6765 (even if no research credits are claimed

on the original return). In order for the election to apply, the

Form 6765 must be filed with your original timely filed return

(including extensions) for the tax year. This election cannot

be made or changed on an amended return. Once made, the

election is irrevocable for that tax year.

Tip: By checking “Yes” to elect the reduced research

credit when no research credits are claimed on the original

return doesn’t mean that you are claiming either the regular

method or making the ASC election.

If you don’t elect the reduced credit, you must reduce your

domestic research or experimental expenditures under

section 174A otherwise taken into account as a deduction or

charged to a capital account by the amount of the research

credit. With respect to taxable years beginning before

January 1, 2025, if the credit exceeds the amount allowed as

a deduction for the tax year for qualified research expenses

or basic research expenses, reduce the amount chargeable

to the capital account for the year for such expenses by the

amount of such excess. Attach a statement to your tax return

that lists the deduction amounts (or capitalized expenses)

that were reduced. Identify the lines of your return (schedule

or forms for capitalized items) on which the reductions were

made. If you e-file, name the attachment

“Form6765ItemASection280C.pdf.”

If you make an election to claim a portion of your research

credit as a payroll tax credit, the amount elected is treated as

a research credit for purposes of the reduced credit.

Item B—Controlled Group/Common

Control

If you are a member of a controlled group or business under

common control, complete the required attachment. The

attachment reports QREs and additional information needed

to compute each group member’s credit. If you e-file, name

this attachment “Form6765ItemBGroupCredit.pdf.” The

required Item B attachment should include a heading for

each line item including:

• Entity EIN,

• Entity Name,

• Common Parent/Designated Member,

• Consolidated Member,

• PBA Code,

• Wages QREs,

• Supplies QREs,

• Rent/Lease Computers QREs,

• Contract Research QREs,

• Total QREs of Controlled Member,

• Percentage of credit,

• Portion of credit (if a section 280C election is made on Item

A, record the reduced credit amount on this column),

• The last line needs to include the total QREs of the

controlled group, and

• The total credit amount for the controlled group.

Instructions for Form 6765 (December 2025)

Other questions you need to answer on the attachment

include:

1. Provide the number of controlled group members this

year and provide the number of controlled group members in

previous year; and

2. For the QREs claimed in the attachment, indicate if

they are being claimed as one consolidated controlled group

return, or filing separate returns.

Note: All members of a controlled group must file to conform

to the designated member’s method and election.

See Regulations section 1.41-9.

Section A—Regular Credit

Skip this section and go to Section B if:

1. You are electing the ASC, or

2. You previously elected the ASC and aren’t revoking the

election on this return.

Line 1

Enter the amounts you paid or incurred to energy research

consortia for energy research. Energy research doesn’t

include any research that isn’t qualified research. In general,

an energy research consortium is any organization described

in section 501(c)(3), exempt from tax under section 501(a),

organized and operated primarily to conduct energy

research, and not a private foundation. See section 41(f)(6)

for further details.

Any amount included on line 1 can’t be included

elsewhere on the return.

Line 2

Enter the amounts the corporation (not to include S

corporations, personal holding companies, and service

organizations) paid in cash, under a written contract, for basic

research to a qualified university, scientific research

organization, scientific tax-exempt organization, or grant

organization. See section 41(e) for details, including the

definitions of qualified organizations.

Line 3

Enter the qualified organization base period amount based

on minimum basic research amounts plus

maintenance-of-effort amounts for the 3 preceding tax years.

See section 41(e) for details.

Line 5

Enter your total QREs calculated from Section F, line 48. See

Line 48, later. If you are a member of a controlled group filing

separately, enter only the member’s QREs and not the group

total QREs. This amount must be computed and shown on

the required group credit attachment (see instructions for this

attachment under Item B—Controlled Group/Common

Control, earlier).

Refer to Section F—Qualified Research Expenses

Summary and Section G—Business Component Information,

later, for reporting QREs by group members that file separate

tax returns.

Line 6

The fixed-base percentage depends on whether you are an

existing company or a start-up company.

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Group members filing separate tax returns enter the fixed

base percentage computed for the entire group.

A start-up company is a taxpayer that had both gross

receipts and QREs either:

• For the first time in a tax year beginning after 1983, or

• For fewer than 3 tax years beginning after 1983 and before

1989.

The fixed-base percentage for a start-up company is

figured as follows.

• For the first 5 tax years beginning after 1993 for which you

have QREs, the percentage is 3%.

• For the 6th tax year beginning after 1993 for which you

have QREs, divide the aggregate QREs for the 4th and 5th

such tax years by the aggregate gross receipts for those tax

years, then divide the result by 6.

• For the 7th tax year beginning after 1993 for which you

have QREs, divide the aggregate QREs for the 5th and 6th

such tax years by the aggregate gross receipts for those tax

years, then divide the result by 3.

• For the 8th tax year beginning after 1993 for which you

have QREs, divide the aggregate QREs for the 5th, 6th, and

7th such tax years by the aggregate gross receipts for those

tax years, then divide the result by 2.

• For the 9th tax year beginning after 1993 for which you

have QREs, divide the aggregate QREs for the 5th, 6th, 7th,

and 8th such tax years by the aggregate gross receipts for

those tax years, then divide the result by 1.5.

• For the 10th tax year beginning after 1993 for which you

have QREs, divide the aggregate QREs for the 5th through

9th such tax years by the aggregate gross receipts for those

tax years, then divide the result by 1.2.

• For the 11th and later tax years beginning after 1993 for

which you have QREs, divide the aggregate QREs for any 5

of the 5th through 10th such tax years by the aggregate gross

receipts for those tax years.

The fixed-base percentage for an existing company (any

company that isn’t a start-up company) is figured by dividing

the aggregate QREs for the tax years beginning after 1983

and before 1989 by the aggregate gross receipts for those

tax years.

The fixed-base percentage for all companies (existing and

start-up) must be rounded to the nearest 1/100th of 1% (that

is, four decimal places) and must be the lesser of the

calculated fixed-based percentage or 16%. In addition, when

figuring your fixed-base percentage, you must reflect

expenses for qualified research conducted in a U.S. territory,

such as Puerto Rico, for all prior tax years included in the

computation.

If short tax years are involved, see Regulations section

1.41-3(b).

Caution: Reduce gross receipts by returns and

allowances. For a foreign corporation, include only gross

receipts that are effectively connected with a trade or

business in the United States (or in a U.S. territory, such as

Puerto Rico, if applicable).

Line 7

Enter the average annual gross receipts (reduced by returns

and allowances) for the 4 tax years preceding the tax year for

which the credit is being determined. You may be required to

annualize gross receipts for any short tax year.

For a foreign corporation, include only gross receipts that

are effectively connected with a trade or business in the

6

United States (or in a U.S. territory, such as Puerto Rico, if

applicable). Group members filing separate tax returns enter

the average annual gross receipts computed for the entire

group.

For a tax year that the credit terminates, the average

annual gross receipts for the 4 tax years preceding the

termination tax year are prorated for the number of days the

credit applied during the tax year.

Line 13

If you elected to reduce the credit under section 280C at the

top of the Form 6765, Item A, then multiply line 12 by 15.8%

(0.158). If not, multiply line 12 by 20% (0.20). If you are a

member of a controlled group enter your share of the credit.

This amount must be computed and shown on the required

group credit attachment. For attachment reporting

requirements under Item B, see Item B—Controlled Group/

Common Control, earlier. For details refer to

Section G—Business Component Information, later, for

reporting QREs by group members that file separate tax

returns under Section F and Section G.

If you don’t elect the reduced credit, you must reduce your

domestic research or experimental expenditures under

section 174A otherwise taken into account as a deduction or

charged to a capital account by the amount of the research

credit. With respect to taxable years beginning before

January 1, 2025, if the credit exceeds the amount allowed as

a deduction for the tax year for qualified research expenses

or basic research expenses, reduce the amount chargeable

to the capital account for the year for such expenses by the

amount of such excess. Attach a statement to your tax return

that lists the deduction amounts (or capitalized expenses)

that were reduced. Identify the lines of your return (schedule

or forms for capitalized items) on which the reductions were

made. If you e-file, name the attachment

“Form6765ItemASection280C.pdf.”

If you make an election to claim a portion of your research

credit as a payroll tax credit, the amount elected is treated as

a research credit for purposes of the reduced credit.

Section B—Alternative Simplified

Credit (ASC)

Complete this section only if, instead of the regular credit:

1. You are electing the ASC, or

2. You previously elected the ASC and aren’t revoking the

election on this return.

Electing the ASC. You elect the ASC by completing

Section B and attaching the completed Form 6765 to your

timely filed (including extensions) original return for the tax

year the election applies. An ASC election can be made on

an amended return for a tax year only if you hadn’t previously

claimed the research credit on an original return or amended

return for that tax year. An extension of time to make the ASC

election will not be granted.

Line 20

Enter your total QREs calculated from Section F, line 48. See

line 48, later. If you are a member of a controlled group filing

separately, enter only the member’s QREs and not the group

total QREs. This amount must be computed and shown on

the required group credit attachment (see instructions for this

attachment under Item B—Controlled Group/Common

Control, earlier).

Instructions for Form 6765 (December 2025)

Refer to Section F—Qualified Research Expenses

Summary and Section G—Business Component Information,

later, for reporting QREs by group members that file separate

tax returns.

Line 21

Enter your QREs for the prior 3 tax years. If the credit

terminates during the tax year, prorate the QREs for the prior

3 tax years for the number of days the credit applied during

the tax year.

If you are a member of a controlled group, enter the total

amount of the group’s QREs for the prior 3 tax years.

Line 26

If you elected to reduce the credit under section 280C at the

top of the Form 6765, Item A, then multiply line 25 by 79%

(0.79). If not, enter the amount from line 25 and see the

line 13 instructions for the statement that must be attached. If

you are a member of a controlled group, enter your share of

the credit. This amount must be computed and shown on the

required group credit attachment. For attachments reporting

requirements under Item B, see Item B—Controlled Group/

Common Control, earlier. Refer to Section G—Business

Component Information, later, for reporting QREs by group

members that file separate tax returns under Section F and

Section G.

If you don’t elect the reduced credit, you must reduce your

domestic research or experimental expenditures under

section 174A otherwise taken into account as a deduction or

charged to a capital account by the amount of the research

credit. With respect to taxable years beginning before

January 1, 2025, if the credit exceeds the amount allowed as

a deduction for the tax year for qualified research expenses

or basic research expenses, reduce the amount chargeable

to the capital account for the year for such expenses by the

amount of such excess. Attach a statement to your tax return

that lists the deduction amounts (or capitalized expenses)

that were reduced. Identify the lines of your return (schedule

or forms for capitalized items) on which the reductions were

made. If you e-file, name the attachment

“Form6765ItemASection280C.pdf.”

If you make an election to claim a portion of your research

credit as a payroll tax credit, the amount elected is treated as

a research credit for purposes of the reduced credit.

Section C—Current Year Credit

Line 27

If the credit on line 13 or 26 (whichever applies) includes

amounts paid to employees as wages, and you are claiming

a credit for employer differential wage payments based on

payments you made to the same employees, enter on line 27

the portion of the credit from Form 8932, line 2, that is

attributable to wages that were used to figure the credit on

line 13 or 26 (whichever applies).

See Form 8932, Credit for Employer Differential Wage

Payments, for more information on the credit.

Line 29

Enter the total credit for increasing research activities from:

• Schedule K-1 (Form 1065), Partner’s Share of Income,

Deductions, Credits, etc., box 15 (code M);

• Schedule K-1 (Form 1120-S), Shareholder’s Share of

Income, Deductions, Credits, etc., box 13 (code M); and

Instructions for Form 6765 (December 2025)

• Schedule K-1 (Form 1041), Beneficiary’s Share of Income,

Deductions, Credits, etc., box 13 (code I).

Partnerships and S corporations report the above credits

on line 29. Also, estates and trusts that can allocate the

source credit to beneficiaries report the above credits on

line 29. All other filers figuring a separate credit on earlier

lines also report the above credits on line 29. All others not

using earlier lines to figure a separate credit can report the

above credits directly on Form 3800, Part III, as follows.

• Eligible small businesses, report the credit on line 4i. See

the definition of Eligible Small Business (For Purposes of

Offsetting AMT Only), earlier. Also, see Treatment of partners

and S corporation shareholders, earlier.

• All others, report the credit on line 1c.

Line 31

Estates and trusts. Allocate the credit for increasing

research activities on line 30 between the estate or trust and

the beneficiaries in the same proportion as income was

allocated and enter the beneficiaries’ share on line 31.

If the estate or trust is subject to the passive activity rules,

include on line 29 any credit for increasing research from

passive activities disallowed for prior years and carried

forward to this year. Complete Form 8582-CR, Passive

Activity Credit Limitations, to determine the allowed credit

that must be allocated between the estate or trust and the

beneficiaries. For details, see the Instructions for Form

8582-CR.

Section D—Qualified Small Business

Payroll Tax Election and Payroll Tax

Credit

Complete this section only if you are making the payroll tax

election. Before completing this section, you must complete

Form 3800 if you are a qualified small business other than a

partnership or an S corporation.

Line 33a

Check the box on line 33a if you are a qualified small

business electing to claim a certain portion of your research

credit as a payroll tax credit. See Qualified Small Business

(Payroll Tax Credit Election), earlier.

Line 33b

Check the box if payroll tax is reported for a different EIN.

Line 34

Enter the portion of your research credit, figured on line 28,

that you are claiming as a payroll tax credit. Don’t enter more

than $500,000.

Line 35

Use the worksheet to figure the general business credit

carryforward for the current year.

Line 36

Enter the amount from line 36 on the applicable line of Form

8974, Part 1, column (e). Use Form 8974 to figure the amount

to be applied to your payroll taxes.

A qualified small business claiming a portion of the

research credit as a payroll tax credit must adjust the

research credit carryforward for the payroll tax credit claimed.

7

Section E—Other Information

Complete this section to provide additional details or

information about the total QREs reported in Section F. If you

are a member of a controlled group, complete this section for

only the filing member’s QREs.

Line 37

Enter the total number of business components generating

the QREs shown on line 48, not just the limited number of

business components you may be reporting in Section G.

The four-part test must be applied separately to each

business component. See section 41(d)(2)(A) for an

explanation of the business components test.

Line 38

Enter the total amount of all officer wages included in the

amounts shown on line 42, if the amount shown on line 42 as

wages for qualified services includes wage amounts

attributable to any officer of the reporting entity. The

corporation determines who is an officer under the laws of

the state where it is incorporated. When corporate officers

perform services for the corporation and receive or are

entitled to receive payments, their compensation is generally

considered wages. The fact that an officer is also a

shareholder does not change this reporting requirement.

Line 39

Check “Yes,” if any QREs reported on line 48 are related to an

acquisition or disposition made during the current tax year.

See Special Rules, earlier, regarding consistency

requirements. Otherwise, check “No.”

Line 40

Check “Yes,” if you identified any new categories of expenses

included in line 48. Otherwise, check “No.” If you include any

new categories or recharacterized any categories of

expenses in the current year compared to the base year(s),

those expenses must be included and adjusted in any of the

base years when computing the credit. See Special Rules,

earlier, regarding consistency requirements.

Line 41

Check “Yes” if any of the QREs on line 48 are following the

ASC 730 Directive. The ASC 730 Directive only applies to the

following taxpayers.

1. Assets equal to or greater than $10 million, and

2. Follows U.S. GAAP to prepare their Certified Audited

Financial Statements (CAFS), showing the amount of current

Research and Development expenses either as:

a. A separate line item on the income statement included

in their CAFS, or

b. Separately stated in a note to their CAFS.

In addition, the ASC 730 Directive does not apply to any

taxpayer unless the taxpayer uses these same U.S. GAAP

financial statements to reconcile book income to federal tax

income on Schedule M-3. If you check “Yes,” enter the

amount from ASC 730 Directive, Appendix C, line 19, on

line 41, then see ASC 730 Directive Single Entry for

Section G, later, for the single ASC 730 entry you will report

for the line 41 amount. Any other amounts on the ASC 730

Directive Appendix B, column B or C, are excluded from the

special instructions for the single ASC 730 entry in Section G.

You may attach ASC 730 Directive Appendices A, B, C, and

D to your return using the following file naming conventions.

• “Form6765ASC730AppendixA.pdf”

• “Form6765ASC730AppendixB.pdf”

• “Form6765ASC730AppendixC.pdf”

• “Form6765ASC730AppendixD.pdf”

See the ASC 730 LB&I Directive & FAQs for more

information and the associated appendices mentioned

above.

Section F—Qualified Research

Expenses Summary

Before completing Section F, complete Section G first (unless

you are not required to complete Section G). See

Requirements To Complete Section G, later, to determine

your requirement.

Report your QREs on each applicable line. Group

members filing separate tax returns report only the member’s

QREs (not the combined group amount of QREs) for each

applicable line in this section.

Line 42

If you completed Section G, enter the total amount from

column 53. Otherwise, enter your total in-house wages for

qualified services for all business components (do not

include any wages used in figuring the work opportunity

credit). Group members filing separate tax returns, report

only your qualified wages expense and not the combined

group amount of qualified wages.

Line 43

If you completed Section G, enter the total amount from

column 54. Otherwise, enter your total supplies for all

business components. Group members filing separate tax

returns, report only your qualified supplies expense and not

the combined group amount of QREs for cost of supplies.

Line 44

If you completed Section G, enter the total amount from

column 55. Otherwise, enter the amount you paid or incurred

for the rental or lease of computers used in qualified

research. The computers must be located off your premises,

and you must not be the operator or primary user of the

computers. Reduce this amount by the amount that you (or

any member of a controlled group of corporations or

Worksheet for Figuring General Business Credit Carryforward

1.

Enter the sum of the following lines from Form 3800, Part I, line 6, and Part II, line 25 and line 36

2.

Enter the amount from Form 3800, Part II, line 38

..........................

____

...........................................................

3.

Subtract line 2 from line 1

____

...........................................................................

____

4.

Enter the amount from Form 3800, Part I, line 5, and Part II, line 35 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

____

5.

Current year general business credit carryforward. Subtract line 4 from line 3. If zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . .

____

8

Instructions for Form 6765 (December 2025)

businesses under common control) received or accrued for

the right to use substantially identical property. Group

members filing separate tax returns, report only your qualified

rental or lease cost of computers and not the combined

group amount of QREs for rental or lease cost of computers.

Line 45

If you completed Section G, enter the total amount from

column 56. Group members filing separate tax returns report

only your applicable amount of contract research expenses

and not the combined group amount of QREs for contract

research expenses.

Enter the amounts you paid or incurred, subject to the

following limitations.

• 100% of amounts you paid (or incurred) for qualified

energy research performed by an eligible small business, a

university, or a federal laboratory. See section 41(b)(3)(D) for

definitions of those entities. Do not include payments to those

same entities to the extent they are included as basic

research payments on line 2 or line 15, not to exceed the

base period amount on line 3 or line 16.

• 75% of amounts you paid (or incurred) for qualified

research by a qualified research consortium (as defined by

section 41(b)(3)(C)(ii)). Do not include 75% of the payments

to a qualified research consortium to the extent they are

included as basic research payments on line 2 or line 15, not

to exceed the base period amount on line 3 or line 16.

• 65% of amounts you paid (or incurred) for all other

qualified research by any other person. Do not include 65%

of the payments to the person to the extent they are included

as basic research payments on line 2 or line 15, not to

exceed the base period amount on line 3 or line 16.

Note: Prepaid contract research expenses are considered

paid in the year the research is actually performed.

Line 46

Enter basic research payments from line 2 to the extent such

payments do not exceed the base period amount on line 3.

Group members filing separate tax returns report only the

amount for your share of basic research payments and not

the combined group total. See section 41(e) for more

information.

• Include 100% of the payments to an eligible small

business, a university, or a federal laboratory, that are

included as basic research payments on line 2 or line 15, not

to exceed the base period amount on line 3 or line 16. See

section 41(b)(3)(D) for definitions of those entities.

• Include 75% of the payments to a qualified research

consortium that are included as basic research payments on

line 2 or line 15, not to exceed the base period amount on

line 3 or line 16.

• Include 65% of the payments paid (or incurred) for all other

qualified research by any other person included as basic

research payments on line 2 or line 15, not to exceed the

base period amount on line 3 or line 16.

Line 48

After completing Section F, all filers will enter the total from

line 48 on line 5 or line 20, as applicable.

Section G—Business Component

Information

If you are required to complete Section G, the totals from

Section G will be entered into the applicable lines of

Instructions for Form 6765 (December 2025)

Section F and then you will complete line 46, if applicable. If

you are not required to complete Section G, you will complete

all applicable lines of Section F.

For tax years beginning before 2026. Section G will be

optional for all filers for tax years beginning before 2026. If

you are filing an amended return, refer to Research Credit

Claims on Amended Returns.

For tax years beginning after 2025. Section G will be

required for tax years beginning after 2025. See How To

Complete Section G, for more information.

Requirements To Complete Section G

Section G is required unless:

• You are a qualified small business, as defined under

section 41(h)(3), and you checked the box to claim a reduced

payroll tax credit; or

• Your total QREs determined at the controlled group level

on line 48 are equal to or less than $1.5 million; your average

annual gross receipts for the prior three tax years are equal to

or less than $50 million, as determined under section 448(c)

(3) (without regard to subparagraph 448(c)(3)(A) thereof);

and you are reporting a research credit on an original return.

How To Complete Section G

If you are required to complete Section G, you must complete

all information in columns 49(a)–(f), 50, 51, 52, 53, 54, 55,

and 56 (unless otherwise noted) for at least 80% of your total

QREs by business component, but report no more than 50

business components (“80%/Top 50”). Each business

component representing the 80%/Top 50 must be listed in

descending order by the total QREs per business

component. The 80%/Top 50 business components should

be determined at the controlled group level unless noted

below. See the details for what to put in each column, later.

Any business components remaining after identifying the

80%/Top 50 business components will be reported in

aggregate by entering “Aggregate Business Components” in

column 49(c) and the applicable aggregate amounts for

columns 50 through 56. Leave all other columns in Section G

blank.

Note: Currently, column 49(f) of Section G only applies if you

are filing an amended return. Refer to Research Credit

Claims on Amended Returns.

If you are a member of a controlled group and file separate

tax returns and you are required to complete Section G you

must report at least 80% of your total QREs (not the group’s

total QREs) by business component, but report no more than

50 of your business components. Report any remaining

business components in aggregate by entering “Aggregate

Business Components” in column 49(c) and the applicable

aggregate amounts for columns 50 through 56. Leave all

other columns in Section G blank.

Do not count the ASC 730 single entry as one of the

80%/Top 50 business components. See ASC 730 Directive

Single Entry for Section G, later. If the ASC 730 single entry

is at least 80% of your total QREs reported on line 48, you do

not have to report any additional business components.

Otherwise, you must report additional business components

to meet the 80%/Top 50 business component requirement.

Any business components remaining after identifying the

80%/Top 50 business components will be reported in

aggregate by entering “Aggregate Business Components” in

column 49(c) and the applicable aggregate amounts for

9

columns 50 through 56. Leave all other columns in Section G

blank.

If you do not e-file and you have more than 15 business

components, report for your 80%/Top 50, attach additional

sheets of Section G and provide the sum of the additional

sheets in the “Total from Attachments” line where noted, to

compute your total QREs that will be reported on lines 42, 43,

44, and 45. Any business components remaining after

identifying the 80%/Top 50 business components will be

reported in aggregate by entering “Aggregate Business

Components” in column 49(c) and the applicable aggregate

amounts for columns 50 through 56. Leave all other columns

in Section G blank.

ASC 730 Directive Single Entry for Section G

If you checked “Yes” on line 41, you will make a single entry in

Section G for the amount reported on line 41; in column

49(c), enter “ASC 730 Directive,” then enter the applicable

amounts from ASC 730 Directive Appendix B (column A only)

in columns 53, 54, 55, and 56. The total of these columns

must equal the amount on line 41. No other columns in

Section G are required for the “ASC 730 Directive” single

entry. If the “ASC 730 Directive” single entry is at least 80% of

your total QREs reported on line 48, you do not have to report

any additional business components. Otherwise, you must

report additional business components to meet the 80%/Top

50 business component requirement. Any business

components remaining after identifying the 80%/Top 50

business components will be reported in aggregate by

entering “Aggregate Business Components” in column 49(c)

and the applicable aggregate amounts for columns 50

through 56. Leave all other columns in Section G blank.

Statistical Sampling

When permitted by the IRS, taxpayers may use statistical

sampling procedures to support items on their income tax

returns, provided that the sampling methodology complies

with Rev. Proc. 2011-42, 2011-37 I.R.B. 318. The filing and

acceptance by the IRS of your Form 6765 does not constitute

acceptance by the IRS of your statistical sample as adequate

substantiation for a return position.

If you used a statistical sampling methodology in

accordance with Rev. Proc. 2011-42 to determine QREs, you

must report the 80%/Top 50 business components as

explained above. See How To Complete Section G ,

irrespective of which business components were used for

your statistical sample. You are required to maintain any

records required by Regulations section 1.41-4(d) and

section 6001.

As explained earlier, any business components not

reported as part of the 80%/Top 50 will be reported in

aggregate by entering “Aggregate Business Components” in

column 49(c) and the applicable aggregate amounts for

columns 50 through 56. Leave the entries on that line for

columns 49(a), 49(b), 49(d), 49(e), and 49(f) blank.

For column 49(c), add the word “sample” to the end of the

business component name or identifier for any that are

among your selected samples and attach your statistical

sampling plan. Name the attachment

“Form6765StatSamplePlan.pdf.”

Section G—Columns 49(a)–(f)

Fill in each column of 49(a)–(f) as directed.

10

Column 49(a). Enter the EIN for the entity associated with

this business component and conducting the research

activities.

Column 49(b). Enter the principal business activity (PBA)

code that best describes the activities of the entity listed in

column 49(a). See the instructions for the top-level return for

the entity filed for the list of PBA codes for the corresponding

tax year.

Column 49(c). Enter the 80%/Top 50 business component’s

name or unique alphanumeric identifier. This field should be

populated with an identifier that is consistent with how you

maintain the books and records that substantiate the

qualified research activities and associated QREs.

Column 49(d). Enter the appropriate business component

type for each business component; select from the following

options only.

1. Product.

2. Process.

3. All Others. (Includes computer software, technique,

formula, or invention.)

See Business Component, earlier, for the definition of a

business component.

Column 49(e). If the business component is software, enter

in this column the software type by selecting from the

following options only. See Research with Respect to

Software for detailed explanations of each option.

A. IUS—internal use software.

B. DFS—dual function software.

C. Non-IUS.

D. Excepted from IUS treatment.

Column 49(f). Currently, column 49(f) is required if you are

claiming a refund or credit on an amended return that

includes a section 41 credit for increasing research activities

that either (a) was not reported on your original filed return or

(b) is increased from the amount reported on your original

return. It is not required for timely filed original returns

including extensions. Provide the information as shown in

Section G for each business component to which the

research credit claim relates for that year.

Caution: You are not required to complete column 49(f)

for timely filed original tax returns including extensions.

Section G—Columns 50–56

Complete each column of 50–56 as directed.

Column 50. Enter the total amount of in-house wages

incurred by persons engaged in the actual conduct of

qualified research activities (as in the case of a scientist

conducting laboratory experiments) for each of the 80%/Top

50 and the aggregate business components. See section

41(b)(2)(B) and Regulations sections 1.41-2.

Column 51. Enter the total amount of in-house wage QREs

incurred by persons engaged in direct supervision of

qualified research activities for each 80%/Top 50 and the

aggregate business components. The term direct supervision

means immediate supervision (first-line management) of

qualified research (as in the case of a research scientist who

directly supervises laboratory experiments, but who may not

actually perform experiments). Direct supervision does not

include supervision by a higher-level manager to whom

first-line managers report, even if that manager is a qualified

Instructions for Form 6765 (December 2025)

research scientist. See section 41(b)(2)(B) and Regulations

sections 1.41-2.

Column 52. Enter the total amount of in-house wage QREs

incurred by persons engaged in direct support of qualified

research activities for each 80%/Top 50 and the aggregate

business components.

For example, direct support of research includes services

of a laboratory worker for cleaning equipment used in

qualified research, or a clerk for compiling research data.

Direct support of research activities does not include

general administrative services, or other services only

indirectly of benefit to research activities. For example,

services of payroll personnel in preparing salary checks of

laboratory scientists, or of officers engaged in supervising

financial or personnel matters do not qualify as direct support

of research. See section 41(b)(2)(B) and Regulations

sections 1.41-2.

Column 53. Total columns 50, 51, and 52 for each business

component you are required to report and enter the amount

in column 53. Show the total qualified wages and report this

amount on Section F, line 42.

Column 54. Enter the total cost of supplies used in the

conduct of qualified research for each business component.

Refer to How To Complete Section G. Show the total of the

cost of supplies used for qualified services and report this

amount on Section F, line 43.

Column 55. Enter the total amount you paid or incurred for

the rental or lease of computers in the conduct of qualified

research for each business component. Refer to How To

Complete Section G.

The computers must be located off your premises, and

you must not be the operator or primary user of the

computers. Reduce this amount by the amount that you (or

any member of a controlled group of corporations or

businesses under common control) received or accrued for

the right to use substantially identical property.

Show the total of rental or lease cost of computers used

for qualified services and report this amount on Section F,

line 44.

Column 56. Enter the total applicable amount of contract

research expenses for qualified services for each business

component. Refer to How To Complete Section G. Basic

research payments will be separately reported on line 46.

Enter the amounts you paid or incurred, subject to the

following limitations, for each business component.

• 100% of amounts you paid (or incurred) for qualified

energy research performed by an eligible small business, a

university, or a federal laboratory. See section 41(b)(3)(D) for

definitions of those entities. Do not include payments to those

same entities to the extent they are included as basic

research payments on line 2 or line 15, not to exceed the

base period amount on line 3 or line 16.

• 75% of amounts you paid (or incurred) for qualified

research by a qualified research consortium (as defined by

section 41(b)(3)(C)(ii)). Do not include 75% of the payments

to a qualified research consortium to the extent they are

included as basic research payments on line 2 or line 15, not

to exceed the base period amount on line 3 or line 16.

• 65% of amounts you paid (or incurred) for all other

qualified research by any other person. Do not include 65%

of the payments to the person to the extent they are included

as basic research payments on line 2 or line 15, not to

exceed the base period amount on line 3 or line 16.

Note: Prepaid contract research expenses are considered

paid in the year the research is actually done. Show the total

of contract research expenses used for qualified research

and report this amount on Section F, line 45.

Research Credit Claims on Amended

Returns

If you are claiming a refund or credit on an amended return or

an AAR (as applicable) that includes a section 41 credit for

increasing research activities that either (a) was not reported

on your original filed return or (b) is increased from the

amount reported on your original return, follow the required

information for a valid research credit claim for refund

procedures. If you e-file, name this attachment

“Form6765ClaimInformation.pdf.” If you submit a credit study

or other documents, please identify the exact pages that

contain the information described above. If you e-file, name

this attachment “Form6765Study.pdf.”

BBA Partnerships must also submit Forms 8985 and 8986

to the IRS and send Forms 8986 to their partners. BBA

Partnerships do not need to provide the three items of

information on the Forms 8985 and Forms 8986 where the

three items of information are included with the Form 6765

attached to the BBA Partnership’s AAR.

Partners of BBA Partnership. BBA Partnerships may not

file an amended return; they must instead file an AAR to

change any partnership-related items for any previously filed

partnership tax returns. If you are a partner of a BBA

Partnership and filing a return that includes a research credit

reported on the BBA Partnership’s AAR, you may, but are not

required to, include the three items of information with your

return to which your Form 8978 is attached if the BBA

Partnership has provided the information to you with their

AAR.

Paperwork Reduction Act Notice. We ask for the information on this form to carry out the Internal Revenue laws of the

United States. You are required to give us the information. We need it to ensure that you are complying with these laws and to

allow us to figure and collect the right amount of tax.

You aren’t required to provide the information requested on a form that is subject to the Paperwork Reduction Act unless the

form displays a valid OMB control number. Books or records relating to a form or its instructions must be retained as long as

their contents may become material in the administration of any Internal Revenue law. Generally, tax returns and return

information are confidential, as required by section 6103.

The time needed to complete and file this form will vary depending on individual circumstances. The estimated burden for

individual and business taxpayers filing this form is approved under OMB control number 1545-0074 and 1545-0123 and is

included in the estimates shown in the instructions for their individual and business income tax return. The estimated burden for

all other taxpayers who file this form is shown below.

Instructions for Form 6765 (December 2025)

11

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Recordkeeping . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Learning about the law or the form . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Preparing and sending the form to the IRS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

10 hr., 31 min.

2 hr., 25 min.

5 hr., 6 min.

If you have comments concerning the accuracy of these time estimates or suggestions for making this form simpler, we

would be happy to hear from you. See the instructions for the tax return with which this form is filed.

12

Instructions for Form 6765 (December 2025)