How do I report the Credit for Increasing Research Activities reported on my K-1?

You can report your research credit within the program, by going to:

1. Federal
2. Deductions (select my forms)
3. Credits
4. Less Common Credits
5. Credit for Increasing Research Activities from Pass-through Entities Form 6765

If you received amounts reported on your K-1 form(s) with the following lines and codes, then you are eligible to report this credit on your individual tax return

• K-1 1065 – Line 15 Code M
• K-1 1041 – Line 13 Code I
• K-1 1120S – Line 13 Code M 

What does the credit include?

The research credit is generally allowed for expenses paid or incurred for qualified research. This research must be undertaken for discovering information that is technological in nature, and its application must be intended for use in developing a new or improved business component of the taxpayer.

You can read more about Form 6765, here.