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Form 67
2023
Credit for Idaho Research Activities
Names as shown on return Social Security number or EIN

Start-up Companies: If you’re treated as a start-up company for purposes of the federal research credit, check the box.
If you elect to be treated as a start-up company for purposes of the Idaho research credit, check the box.
You can’t revoke the election once you make it.
Credit Available Subject to Limitation
• Corporations other than S corporations, personal holding companies and service organizations begin on line 1.
• Individuals, S corporations, partnerships, trusts, estates, personal holding companies, and service organizations
begin on line 4.
Basic Research Payments. Only corporations complete lines 1 through 3.
1. Basic research payments paid or incurred during the tax year to qualified organizations ......... 1
2. Qualified organization base period amount ................................................................................ 2
3. Subtract line 2 from line 1. If less than zero, enter zero ............................................................. 3
Qualified Research Expenses Paid or Incurred for Research Conducted in Idaho
4. Wages for qualified services performed in Idaho ........................................................................ 4
5. Cost of supplies used in Idaho .................................................................................................... 5
6. Rental or lease costs of computers used in Idaho ...................................................................... 6
7. Enter the applicable percentage of contract research expenses ................................................ 7
8. Total qualified research expenses for research conducted in Idaho. Add lines 4 through 7 ....... 8
9. Enter fixed-base percentage, but not more than 16%, from page 2, Part A or B ........................ 9 %
10. Enter average annual Idaho gross receipts from page 2, Part C ................................................ 10
11. Base amount. Multiply line 10 by the percentage on line 9 ........................................................ 11
12. Subtract line 11 from line 8. If zero or less, enter zero ................................................................ 12
13. Multiply line 8 by 50% ................................................................................................................. 13
14. Enter the smaller amount from line 12 or line 13 ........................................................................ 14
15. Add lines 3 and 14 ...................................................................................................................... 15
16. Credit earned. Multiply line 15 by 5% ......................................................................................... 16
17. Pass-through share of credit from an S corporation, partnership, trust, or estate ...................... 17
18. Credit received through unitary sharing. Include a schedule ...................................................... 18
19. Carryover of credit for Idaho research activities from prior years ............................................... 19
20. Credit distributed to shareholders, partners, or beneficiaries ..................................................... 20
21. Credit shared with unitary affiliates ............................................................................................. 21
22. Total credit available subject to limitations. Add lines 16 through 19,
then subtract lines 20 and 21 ..................................................................................................... 22

23. Enter the Idaho income tax from your tax return ........................................................................ 23
24. a. Credit for income tax paid to other states .............................................. 24a
b. Credit for contributions to Idaho educational entities ............................. 24b
c. Investment tax credit .............................................................................. 24c
d. Credit for contributions to Idaho youth and rehabilitation facilities ......... 24d
e. Credit for production equipment using post-consumer waste ................ 24e
f. Promoter-sponsored event credit ........................................................... 24f
g. Add lines 24a through 24f .................................................................................................... 24g
25. Net income tax after allowance of other credits. Subtract line 24g from line 23 ......................... 25
26. Total credit available subject to limitations. Enter the amount from line 22 ................................ 26
27. Credit for Idaho research activities allowed.
Enter the smaller amount from line 25 or line 26 here and on Form 44, Part I, line 4 ................ 27
Credit Carryover
28. Total credit available subject to limitations. Enter the amount from line 22 ................................ 28
29. Credit allowed. Enter the amount from line 27...................................................... ............................. 29
30. Credit carryover to future years. Subtract line 29 from line 28. Enter the amount here
and on Form 44, Part I, line 4 ...................................................................................................... 30
EFO00037 09-18-2023 Page 1 of 2

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Form 67 2023 (continued)

Use Part A or Part B to compute the fixed-base percentage. If the company meets the federal definition of a start-up company or
has elected to be treated as a start-up company, skip Part A and use Part B. Enter the fixed-base percentage on page 1, line 9.
Use Part C to compute the average annual gross receipts attributable to sources in Idaho. Enter this amount on page 1, line 10.
For Parts A, B and C, determine Idaho gross receipts using the multistate apportionment rules.
Part A — Fixed-base Percentage
Column A Column B
Idaho Qualified Idaho Gross
1. Enter the amounts for each year Research Expenses Receipts
a. 1984 ............................................................................................................ 1a
b. 1985 ............................................................................................................ 1b
c. 1986 ............................................................................................................ 1c
d. 1987 ............................................................................................................ 1d
e. 1988 ............................................................................................................ 1e
f. Total Idaho qualified research expenses. Add lines 1a through 1e
in Column A ................................................................................................. 1f
g. Total Idaho gross receipts. Add lines 1a through 1e in Column B ................................................ 1g
2. Fixed-base Percentage. Divide line 1f by line 1g. Enter the amount here and
on page 1, line 9. Don’t enter more than 16% .................................................................................... 2 %
Part B — Fixed-base Percentage for Start-up Companies
For the first five tax years beginning after 1993 that you have qualified research expenses for research conducted in Idaho,
enter on line 1 which year after 1993 this tax year is (for example 3rd tax year) and on line 5 enter 3%. You don’t need to
complete any other lines in Schedule B.
If this is the 6th year or later beginning after 1993 that you have qualified research expenses for research conducted in Idaho,
use the table in the instructions on page 3 to determine the years that you need to enter the Idaho qualified research expenses
and Idaho gross receipts for. For example, if this is the 6th tax year beginning after 1993, you’ll enter the Idaho qualified
research expenses and Idaho gross receipts for the 4th and 5th tax years.
1. Identify the year beginning after 1993 (1st, 2nd, 3rd...). See instructions .......................................... 1
Column A Column B
2. Enter the qualified research expenses for research conducted in Idaho Qualified Research
and the Idaho gross receipts for the applicable years. The applicable Expenses for Research Idaho Gross
years can be found in the table in the instructions on page 4. Conducted in Idaho Receipts
(Column A of table) (Column B of table)
a. 4th Year ............................................................................................................. 2a
b. 5th Year ............................................................................................................. 2b
c. 6th Year ............................................................................................................. 2c
d. 7th Year ............................................................................................................. 2d
e. 8th Year ............................................................................................................. 2e
f. 9th Year ............................................................................................................. 2f
g. 10th Year ..................................................................................................... 2g
h. Total qualified research expenses for research conducted in Idaho
for applicable years. Add the amounts in Column A ................................... 2h
i. Total Idaho gross receipts for the same tax years. Add the amounts in Column B ............................ 2i
3. Divide Line 2h by line 2i ...................................................................................................................... 3
4. Percent for applicable year as indicated in the table in the instructions on page 4, Column C ................ 4
5. Fixed-based percentage for start-up companies. Multiply line 3 by line 4. Enter the amount
here and on page 1, line 9. Don’t enter more than 16% .................................................................... 5
Part C — Average Annual Idaho Gross Receipts for the Previous Four Tax Years
1. Enter the Idaho gross receipts for each of the years indicated.
a. 1st preceding tax year ................................................................................. 1a
b. 2nd preceding tax year ................................................................................ 1b
c. 3rd preceding tax year ................................................................................. 1c
d. 4th preceding tax year ................................................................................. 1d
e. Total annual Idaho gross receipts for the previous four tax years. Add lines 1a through 1d ........ 1e
2. Total average annual Idaho gross receipts for the previous four tax years.
Divide the amount on line 1e by 4. Enter the amount here and on page 1, line 10 ........................... 2
EFO00037 09-18-2023 Page 2 of 2

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                     Form 67 — Instructions
                     Credit for Idaho Research Activities                                          2023

General Instructions                                    Carryover Periods
Use Form 67 to calculate the credit for Idaho           The credit carryover is limited to 14 tax years.
research activities (Idaho research credit) earned 
or allowed. The credit is earned by increasing          Special Rules
                                                        If you have a short tax year, see IRC Sections 41(f)(4) 
research activities in Idaho. Each member of a 
                                                        and 41(h).
unitary group that earns or is allowed the credit 
must complete a separate Form 67.
                                                        Specific Instructions
Qualified Research                                      Instructions are for lines not fully explained on the form.
The Idaho research credit conforms to the Internal 
Revenue Code (IRC) Section 41 definitions of            Start-up Companies
basic research payments, basic research, qualified      If you’re a start-up company for the federal research 
research expenses, and qualified research,              credit, mark the applicable box. You’ll be treated as a 
except that only the amounts related to research        start-up company for the Idaho research credit.
conducted in Idaho qualify for the Idaho research       You can elect to be treated as a start-up company 
credit.                                                 for the Idaho research credit even though you don’t 
In general, for an activity to qualify for the research qualify as a start-up company for the federal research 
credit, “qualified research” must meet all four of      credit. To make the election, check the applicable box. 
these criteria:                                         Once you make this election, you can’t change it.
•  Expenditures may be treated as expenses              If you’re treated as a start-up company, use the federal 
under IRC Section 174                                   rules under IRC Section 41 for start-up companies to 
•  Activities are undertaken for the purpose of         determine the fixed-base percentage. The calculation 
discovering information that’s technological in         will be different from the federal calculation in the 
nature                                                  following ways:
•  The application must be useful in the                • Qualified research expenses will include only 
development of a new or improved business                 qualified research expenses for research 
component of the taxpayer                                 conducted in Idaho, and
•  Substantially all activities constitute elements     •  Aggregate gross receipts will include only Idaho 
of a process of experimentation for a qualified           gross receipts
purpose                                                 If you aren’t a start-up company for the federal 
                                                        research credit and you don’t want to make the 
Qualified research involves only technological          election for the Idaho research credit, leave both 
activities and doesn’t include research in              boxes blank.
economics, business management, behavioral 
sciences, arts, or humanities.                          Credit Available Subject to Limitation
Gross receipt calculations include only those gross     Like the federal research credit, corporations that 
receipts attributable to Idaho using the multistate     aren’t S corporations, personal holding companies, 
corporation apportionment rules.                        or service organizations can only claim the portion 
                                                        of the credit that’s computed on the excess of 
The Idaho credit doesn’t include the calculation        qualified research payments over the base amount. 
of the alternative simplified credit that’s allowed in  All taxpayers other than these qualifying corporations 
computing the federal credit.                           should begin on line 4.

Unitary Sharing                                         Line 1. If you’re a qualifying corporation as discussed 
A corporation included as a member of a unitary         above, enter the amount of your payments to a 
group of corporations can share the Idaho research      qualified university or scientific research organization 
credit it earns but doesn’t use with other members      that are paid under a written contract for basic 
of the unitary group. The corporation must claim        research conducted in Idaho.
the Idaho research credit to the extent allowable 
against its Idaho income tax before it can share the 
credit.
EIN00084 09-18-2023                                                                                     Page 1 of 4

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Form 67 — Instructions 2023 (continued)

Line 2. Enter the qualified organization base period Line 10. Enter the average annual Idaho gross
amount as defined in IRC Section 41(e) that relates receipts for the previous four tax years from page 2,
to research conducted in Idaho. Part C. The instructions for Part C begin on page 4
of these instructions.
Line 4. Enter the amount of wages paid to an
employee for qualified services performed by the Line 11. Multiply the amount on line 10 by the
employee in Idaho. Qualified services consist percentage on line 9. If the tax year is a short tax year,
of engaging in qualified research or the direct prorate the base amount based on the number of
supervision or direct support of research activities months in the short tax year.
that constitute qualified research.
Line 17. Enter the amount of Idaho research credit
Line 5. Enter the amount of supplies used in Idaho that’s being passed to you from S corporations,
to conduct qualified research. Supplies mean any partnerships, trusts, or estates, that you have
tangible property other than land or improvements an interest in. This amount is from Form ID K-1,
to land and property subject to the allowance for Part VII, line 40 or Form ID K-1, Part XI, line 64
depreciation. (Composite/ABE).

Line 6. Enter the amount you paid or incurred for Line 18. If you’re a member of a unitary group of
the rental or lease of computers used in qualified corporations, enter the amount of credit you received
research conducted in Idaho. The computer must from another member of the unitary group.
be located off your premises, and you can’t be the
operator or primary user of the computer. Reduce Line 19. Enter the carryover from your 2022 Form 67,
this amount by the amount that you or any member line 30.
of a controlled group of corporations or businesses
Line 20. If you’re an S corporation, partnership, trust,
under common control received or accrued for the
or estate, enter the amount of credit that passed
right to use substantially identical property.
through to shareholders, partners, or beneficiaries.
Line 7. Enter 65% of the amount you paid or
Line 21. If you’re a member of a unitary group of
incurred for qualified research conducted in Idaho
corporations, enter the amount of credit you earned
that was performed on your behalf. Prepaid contract
that you elect to share with other members of your
research expenses are considered paid in the year
unitary group. Before you can share your credit you
the research is actually done. Also, include 65% of
must use the credit up to the allowable limitation of
that portion of the line 1 basic research payments
your Idaho income tax.
that doesn’t exceed the line 2 base amount.
Corporations claiming the Idaho research credit must
If the payments were made to a qualified research
provide a calculation of the credit earned and used by
consortium that conducted research in Idaho,
each member of the combined group. The schedule
use 75% instead of 65%. A qualified research
must clearly identify shared credit and the computation
consortium is a tax-exempt organization described
of any credit carryovers.
in IRC Section 501(c)(3) or 501(c)(6) that’s
organized and operated primarily to conduct Credit Ordering and Limitation
scientific research and isn’t a private foundation. The Idaho research credit is limited to the Idaho
income tax after allowing all other tax credits that can
Line 9. Enter the applicable percentage from
be claimed before it. The following credits must be
page 2, Part A or Part B. If you’re a start-up
applied to the tax before the Idaho research credit:
company, compute your fixed-based percentage
1. Credit for income tax paid to other states
on page 2, Part B. If you didn’t meet the federal
definition of a start-up company or make the Idaho 2. Credit for contributions to Idaho educational entities
election to be treated as a start-up company, use 3. Investment tax credit
Part A to compute your fixed-base percentage. The 4. Credit for contributions to Idaho youth and
instructions for Parts A and B begin on page 3 of rehabilitation facilities
these instructions.
5. Credit for production equipment using
post-consumer waste
6. Promoter-sponsored event credit
EIN00084 09-18-2023 Page 2 of 4

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Form 67 — Instructions 2023 (continued)

Line 23. Enter the amount of your Idaho income apportionment rules to determine the amount of
tax. This is the computed tax before subtracting any gross receipts attributable to Idaho. Gross receipts
credits or adding the permanent building fund tax or include receipts minus returns and allowances from
other taxes. the sale of real, tangible, or intangible property held
for sale to customers in the ordinary course of your
Line 24a. Enter the credit for income tax paid trade or business. Amounts attributable to Idaho
to other states from Form 39R, Form 39NR, or include receipts from property that’s delivered or
Form 66, page 2. This credit is available only to shipped to a purchaser in Idaho. Sales to the U.S.
individuals, trusts or estates. government are Idaho gross receipts if the property
is shipped from an office, store, warehouse, factory,
Line 24b. Enter the credit for contributions to Idaho
or other place of storage in Idaho.
educational entities from the appropriate Idaho
income tax return. Line 2. Divide line 1f by line 1g. Round the percentage
to four digits to the right of the decimal point. For
Line 24c. Enter the investment tax credit allowed
example, .06666 is rounded to .0667 and is entered as
from Form 49, Part II, line 9.
6.67%. The percentage can’t be more than 16%. Enter
Line 24d. Enter the credit for contributions to the percentage here and on page 1, line 9.
Idaho youth and rehabilitation facilities from the
appropriate Idaho income tax return. Part B
Line 1. Enter on this line which year after 1993 this
Line 24e. Enter the credit for production equipment credit year is. For example, if this is the first tax year
using post-consumer waste from the appropriate after 1993 that you had qualified research expenses
Idaho income tax return. for research conducted in Idaho, enter 1st. If it’s the
7th tax year after 1993 that you had qualified research
Line 24f. Enter the promoter-sponsored event
expenses for research conducted in Idaho, enter 7th.
credit from the appropriate Idaho income tax return.
Don’t enter the tax year.
Line 27. Enter the smaller amount from lines 25 or Consider only the tax years that you had qualified
26. Enter this amount on Form 44, Part I, line 4, in research expenses for research conducted in Idaho.
the Credit Allowed column.
If this year is one of the 1st through 5th tax years after
If you’re an S corporation or partnership and you’ve 1993 that you had qualified research expenses for
elected to be an ABE, this amount also needs to be research conducted in Idaho, skip lines 2a through 4
distributed to the shareholders or partners on their and enter 3% on line 5. This percent is also entered on
Form ID K-1. page 1, line 9.

Credit Carryover Lines 2a through 2g. If this year is the 6th or later
tax year after 1993 that you had qualified research
Line 30. The amount of credit available that
expenses for research conducted in Idaho, use the
exceeds the total credit allowed on the current year
table on page 4 to complete Columns A and B for
tax return can be carried forward up to 14 tax years.
lines 2a through 2g. Column A identifies which years
Enter this amount on Form 44, Part I, line 4 in the
you need to enter the qualified research expenses for
Carryover column.
research conducted in Idaho. Depending on which
Fixed-base Percentage — Parts A and B year this is, you may not enter an amount on each line.
If you’re computing the credit for a start-up For example, if this is the 8th tax year, enter amounts
company, skip Part A and use Part B to compute for the 5th through 7th tax years only, lines 2b through
your fixed-base percentage. If you aren’t a start-up 2d. Enter the Idaho gross receipts in Column B for the
company, use Part A and skip Part B. same tax years.

Part A Line 4. If this year is the 6th or later tax year after
1993 that you had qualified research expenses
Line 1. For each of the years 1984 through 1988,
for research conducted in Idaho, use Column C of
enter the total Idaho qualified research expenses
the table on page 4 and enter the percent for the
for the year in Column A and the total Idaho
applicable year. For example, if this is the 8th tax year,
gross receipts in Column B. Use the multistate
enter 50%.
EIN00084 09-18-2023 Page 3 of 4

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                                                                   Form 67 — Instructions     2023     (continued)

Line 5. If this year is one of the 1st through 5th tax      A taxpayer who hasn’t been transacting business 
years after 1993 that you had qualified research            in Idaho before the credit year is considered to 
expenses for research conducted in Idaho, enter             have average annual gross receipts for the four 
3%. For all other years, multiply line 3 by line 4.         preceding tax years equal to zero.
Round the percentage to four digits to the right of 
the decimal point. For example, .06666 is rounded           Line 2. Divide the amount on line 1e by 4.
to .0667 and is entered as 6.67%. The percentage            If the taxpayer has been transacting business in 
can’t be more than 16%. Enter the percentage here           Idaho for at least one but less than four previous tax 
and on page 1, line 9.                                      years, the taxpayer’s average annual gross receipts 
                                                            for the four preceding tax years is equal to its annual 
Part C                                                      average gross receipts for the number of years that 
Lines 1a through 1d. For each of the 1st through            the taxpayer has been transacting business in Idaho. 
4th tax years before this tax year, enter the Idaho         Divide line 1e by the applicable number of tax years.
gross receipts for each applicable year. Use the            Enter the amount here and on page 1, line 10.
multistate apportionment rules to determine the 
amount of gross receipts attributable to Idaho. 
Don’t include returns and allowances. If one or 
more of the four preceding tax years is a short tax 
year, the Idaho gross receipts for the short year are 
annualized.

Tax years beginning 
after 1993 that you have 
                                                                 Calculation
Idaho qualified research 
expenses
First 5 tax years            Use 3% for these years – Enter 3% on Form 67, page 2, Part B, line 5.
                                             A                                 B                         C
                                                                                                   Enter the % 
                             Aggregate Qualified Research 
                                                                         Aggregate                 on Form 67, 
                             Expenses for Research 
                                                                   Idaho Gross Receipts            Page 2, Part B, 
                             Conducted in Idaho for:
                                                                                                   line 4
6th tax year                 The 4th and 5th such tax years                                        16.67%

7th tax year                 The 5th and 6th such tax years                                        33.33%

8th tax year                 The 5th, 6th and 7th such tax years Enter the aggregate Idaho gross   50%
                                                                   receipts for the same tax years 
9th tax year                 The 5th through 8th such tax years    as indicated in Column A        66.67%

10th tax year                The 5th through 9th such tax years                                    83.33%

Tax years beginning after    Any 5 of the 5th through 10th such 
                                                                                                   100%
the 10th tax year            tax years

                                                    Contact us:
                          In the Boise area: (208) 334-7660  |Toll free: (800) 972-7660
                                 Hearing impaired (TDD) (800) 377-3529
                                             tax.idaho.gov/contact
EIN00084 09-18-2023                                                                                       Page 4 of 4

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