The IRS has released a revised version of Draft Form 6765 in response to public comments. The goal of the new form is to reduce taxpayer burden, with changes revolving around Section G (Business Component Information). In the 2024 tax year, the revised section will be optional for all taxpayers.
In 2025, it will remain optional to complete for:
- Taxpayers with total QREs less than or equal to $1.5 million and $50 million or less in gross receipts
- Qualified small business taxpayers who claim a reduced payroll tax credit in Section D of the form
It also reduces the number of business components that must be reported on Schedule G and the information disclosed at the business component level.
Additionally, the IRS announced its plans to relax disclosures that were previously required for refund claims related to research credit. Taxpayers no longer have to include the names of individuals who performed research activity or the information each sought to discover when submitting a refund claim.
However, if the claim is selected to be examined, that information may be requested.
This article is informational and does not constitute legal or financial advice. Consult with an employment lawyer or accountant for additional clarification on how these changes impact your company.
