Montana Application to be considered a Research and Development Firm
Extracted from PDF file 2020-montana-form-rdf-ct.pdf, last modified April 2012
Application to be considered a Research and Development FirmClear Form MONTANA RDF-CT Rev 04 14 Application to be Considered a Research and Development Firm 15-31-103 and 15-6-135, MCA This application must be filed before the end of the first calendar quarter during which your firm engages in business in Montana. Please type or print the information required in the boxes below. Name of Corporation Federal Employer Identification Number Address City - Date the firm was incorporated or qualified to do business in Montana State Zip First taxable year for which exemption is requested Please mark the appropriate box(es) regarding this application: Corporate Income Tax Exemption Class 5 Property Classification Part I Enter the name and address of each officer of the research and development firm. (Please include a supplement if necessary.) Part II Please provide a detailed description of the corporation’s research and development activity that will be conducted in Montana. (Note: Please refer to the general instructions listed on the back of this form and provide the required information.) (Please include a supplement if necessary.) Part III Please identify your registered agent. If you are using a commercial registered agent, please list that agent’s name. If you are using a non-commercial registered agent, please list the name and address of that agent. (35-7-105(1), MCA) Name Street Address or Rural Route Box Number (if necessary) City, State and Zip Code (if necessary) Part IV __________________________________________________________________ Signature of Chief Executive Officer or Officer’s Agent _____________________________________ Date __________________________________________________________________ Print Name and Title _____________________________________ Telephone Number Mail to: Montana Department of Revenue, Corporation Tax Unit, PO Box 7149, Helena, MT 59604-7149 Instructions for Form RDF-CT Purpose of This Form The form serves two purposes. It is used by new corporations created to engage in business in Montana to apply for classification as a research and development firm. It is also used annually by firms that already have been classified as research and development firms to identify their research and development property that qualifies for “class 5” classification for property tax purposes. Application Filing Requirements • This application must be filed with us before the end of the first calendar quarter of the taxable year that you engage in business in Montana. • When we receive your timely application, (15-31-103(2)(c), MCA), we will evaluate it to make sure that it contains all of the information required by 15-31103(2)(b), MCA. If your application was timely filed, and contains all required information, we will send you a letter confirming this designation. • If you do not properly complete this form or file within the time allowed, you will automatically be disqualified from being designated and treated as a research and development firm. • The director of the Department of Revenue may grant you an extension of time to file an application for treatment as a research and development firm. To receive this extension, you must submit a request for the extension in writing. When doing so, the new deadline that you are requesting for submitting the application cannot extend beyond 30 days from the date the application was required to be filed. • ARM Section 42.23.115 states that in order for a firm to qualify as a research and development firm, more than 50% of the real and tangible personal property located in Montana and more than 50% of its Montana payroll must be directly related to research and development activities. • A corporation that is created through the reorganization of a corporation currently operating in Montana is not eligible for the research and development tax benefits if the newly created research and development subsidiary is essentially continuing current and past activities of the parent in Montana. If the newly created corporation is carrying on new research and development activities separate and distinct from the operations of the parent, the corporation will be eligible for tax benefits. (ARM 42.23.114) Exemption from Income Tax and Alternative Income Tax (15-31-103, MCA) • An eligible research and development firm that is organized to engage in business in the state of Montana for the first time is not subject to any of the taxes imposed on net income earned from research and development activities during its first five taxable years of activity in Montana. The “taxable year” means a research and development firm’s taxable period for federal income tax purposes. • Income which is unrelated to research and development activities earned by a research and development firm is not eligible for the five-year income exemption from the Montana corporate income tax. (ARM 42.23.116) • For the purpose of calculating or otherwise determining the period for which a deduction, exclusion, exemption, or credit may be taken, we will disregard a research and development firm’s first five taxable years of activity in Montana and administer the deduction, exclusion, exemption, or credit as if the corporation did not exist during those taxable years. This treatment of a research and development firm extends to net operating loss carryback and net operating loss carryforward provisions. Property Tax Classification (15-6-135, MCA) • If you qualify as a research and development firm, all land and improvements and all personal property that you own that is actively devoted to research and development will be considered “class five property” for purposes of property tax classification. • In order to qualify for the class five property classification, you must file this form annually with the department on or before January 1 of the year that you desire the classification. Through our business and income taxes division, we will certify the eligibility of your class five research and development property classification. Mail to: Montana Department of Revenue Corporation Tax Unit PO Box 7149 Helena, MT 59604-7149 Questions? Please call us at (406) 444-6900.
More about the Montana Form RDF-CT Corporate Income Tax
We last updated the Application to be considered a Research and Development Firm in April 2021, and the latest form we have available is for tax year 2020. This means that we don't yet have the updated form for the current tax year. Please check this page regularly, as we will post the updated form as soon as it is released by the Montana Department of Revenue. You can print other Montana tax forms here.
Other Montana Corporate Income Tax Forms:
|Form Code||Form Name|
|Form INA-CT||Affidavit of Inactivity for Corporations, Partnerships and Disregarded Entities (OBSOLETE)|
|Form CT||Corporate Income Tax Payment Voucher|
|Form NOL||Montana Net Operating Loss|
|Form MSA||Montana Medical Care Savings Account (DISCONTINUED)|
|Form MW-4 (Formerly MT-R)||Reciprocity Exemption from Withholding for North Dakota residents who work in Montana|
Montana usually releases forms for the current tax year between January and April. We last updated Montana Form RDF-CT from the Department of Revenue in April 2021.
About the Corporate Income Tax
The IRS and most states require corporations to file an income tax return, with the exact filing requirements depending on the type of company.
Sole proprietorships or disregarded entities like LLCs are filed on Schedule C (or the state equivalent) of the owner's personal income tax return, flow-through entities like S Corporations or Partnerships are generally required to file an informational return equivilent to the IRS Form 1120S or Form 1065, and full corporations must file the equivalent of federal Form 1120 (and, unlike flow-through corporations, are often subject to a corporate tax liability).
Additional forms are available for a wide variety of specific entities and transactions including fiduciaries, nonprofits, and companies involved in other specific types of business.
Historical Past-Year Versions of Montana Form RDF-CT
We have a total of ten past-year versions of Form RDF-CT in the TaxFormFinder archives, including for the previous tax year. Download past year versions of this tax form as PDFs here:
While we do our best to keep our list of Montana Income Tax Forms up to date and complete, we cannot be held liable for errors or omissions. Is the form on this page out-of-date or not working? Please let us know and we will fix it ASAP.