Rhode Island Code of Regulations
Title 280 - Department of Revenue
Chapter 20 - Division of Taxation
Subchapter 20 - TAX CREDITS/DEDUCTIONS
Part 12 - Elective Deduction for New Research and Development Facilities (280-RICR-20-20-12)
Section 280-RICR-20-20-12.9 - Transaction in which Recomputation is not Required
Current through March 20, 2024
A. A recomputation of the research and development deduction is not required if all of the following elements are present in the transaction:
B. If all of the preceding elements are present in the transaction, such transfer will not require a recomputation of the research and development deduction, and any unused research and development deduction on the transferred property may be passed through to and carried forward by the acquiring taxpayer;
C. If the property in the hands of the acquiring taxpayer is not in qualified use for its entire life, a recomputation of the research and development deduction by the acquiring taxpayer is required. In measuring the period of qualified use, the period during which the property was held by the transferor taxpayer and the acquiring taxpayer shall be taken into account.
D. A recomputation is required where a transfer is made other than to an acquiring taxpayer taxable under R.I. Gen. Laws Chapters 44-11 or 44-30 (on the theory that the property is no longer in qualified use).
