Arizona Form   Additional Credit for Increased Research Activities for
                                                 Basic Research Payments –                                                                          2022
               346-S          Distribution to Shareholders of an S Corporation

  For the calendar year 2022 or fiscal year beginning M M D D 2 0 2 2  and ending                M M D D Y Y Y Y  .

S Corporation:
  • Complete Form 346-S for each shareholder of the S Corporation except for trust or estate shareholders. 
  However, an S Corporation ownership share that is owned by a grantor trust that is disregarded for federal 
  income tax purposes is treated as owned by the grantor.  The grantor may claim his or her share of the credit.
  • Include a copy of this form with your return.
  • Provide a copy of the completed form and the Letter of Approval received from the Arizona Department of 
  Revenue to each shareholder.
  • Keep a copy of each completed Form 346-S for your records.

Shareholder:
  • Use this form to complete your own Form 346.
  • Include this completed form and a copy of the Letter of Approval received from the Arizona Department of 
  Revenue with your return.
  • Keep a copy of this form and certificate for your records.

NOTE:  If you file your tax return on a calendar year basis but this entity files a return on a fiscal year basis (see above), 
       claim this credit on your tax return for the year in which this entity’s fiscal year ends.

Part 1 S Corporation and Shareholder Information
  (a) S Corporation Name                                      (b) Employer Identification Number (EIN)
1
  (a) Shareholder Name                                        (b) Social Security Number (SSN)                                                    (c) Proportionate Share
2                                                                                                                                                   %

Part 2 Distribution of the Credit Passed Through
3 Enter the total amount of the S Corporation’s credit from Part 3, line 12 of the S Corporation’s 
  Form 346 .................................................................................................................................... 3 $     00
4 Shareholder’s portion of the S Corporation research and development credit:  Multiply line 3  
  by the shareholder’s proportionate share shown on line 2(c).  Enter the result. ........................ 4                                      $     00
  Shareholders:  Enter the amount from line 4 on your Form 346, Part 2, line 11.

ADOR 11284 (22)