Form 8826 (Rev. December 2006)

Form
8826
OMB No. 1545-1205
Disabled Access Credit
(Rev. December 2006)
©
Department of the Treasury
Internal Revenue Service
Attach to your tax return.
Attachment
Sequence No.
Name(s) shown on return
1
Total eligible access expenditures (see instructions)
1
2
Minimum amount
2
3
Subtract line 2 from line 1. If zero or less, enter -0-
3
4
Maximum amount
4
5
Enter the smaller of line 3 or line 4
5
6
Multiply line 5 by 50% (.50)
6
7
Disabled access credit from partnerships and S corporations
7
8
Add lines 6 and 7, but do not enter more than $5,000. Partnerships and S corporations, report this
amount on Schedule K; all others, report this amount on the applicable line of Form 3800 (e.g., line
1g of the 2006 Form 3800)
8
General Instructions
Section references are to the
Internal Revenue Code.
What’s New
● The tax liability limit is no longer
figured on this form; instead, it must
be figured on Form 3800, General
Business Credit.
● Taxpayers that are not
partnerships or S corporations, and
whose only source of this credit is
from those pass-through entities, are
not required to complete or file this
form. Instead, they can report this
credit directly on line 1g of Form
3800.
● The IRS will revise this December
2006 version of the form only when
necessary. Continue to use this
version for tax years beginning after
2005 until a new revision is issued.
Purpose of Form
Eligible small businesses use Form
8826 to claim the disabled access
credit. This credit is part of the
general business credit.
Definitions
Eligible Small Business
For purposes of the credit, an
eligible small business is any
business or person that:
● Had gross receipts for the
preceding tax year that did not
86
Identifying number
exceed $1 million or had no more
than 30 full-time employees during
the preceding tax year and
● Elects (by filing Form 8826) to
claim the disabled access credit for
the tax year.
For purposes of the definition:
● Gross receipts are reduced by
returns and allowances made during
the tax year,
● An employee is considered full
time if employed at least 30 hours
per week for 20 or more calendar
weeks in the tax year, and
● All members of the same
controlled group and all persons
under common control generally are
considered to be one person—see
section 44(d)(2).
Eligible Access Expenditures
For purposes of the credit, these
expenditures are amounts paid or
incurred by the eligible small
business to comply with applicable
requirements under the Americans
With Disabilities Act of 1990 (Public
Law 101-336) as in effect on
November 5, 1990.
Eligible access expenditures
include amounts paid or incurred:
1. To remove barriers that prevent
a business from being accessible to
or usable by individuals with
disabilities;
For Paperwork Reduction Act Notice, see back of form.
Cat. No. 12774N
$
250 00
$10,000 00
2. To provide qualified interpreters
or other methods of making audio
materials available to
hearing-impaired individuals;
3. To provide qualified readers,
taped texts, and other methods of
making visual materials available to
individuals with visual impairments;
or
4. To acquire or modify equipment
or devices for individuals with
disabilities.
The expenditures must be
reasonable and necessary to
accomplish the above purposes.
Eligible expenditures do not
include expenditures in 1 above that
are paid or incurred in connection
with any facility first placed in
service after November 5, 1990.
Eligible access expenditures must
meet those standards issued by the
Secretary of the Treasury as agreed
to by the Architectural and
Transportation Barriers Compliance
Board and set forth in regulations.
See section 44(c) for other details.
Disability. For an individual, this
means:
● A physical or mental impairment
that substantially limits one or more
major life activities,
● A record of such an impairment, or
● Being regarded as having such an
impairment.
Form
8826
(Rev. 12-2006)
Form 8826 (Rev. 12-2006)
Member of Controlled Group or
Business Under Common Control
For purposes of figuring the credit, all
members of a controlled group of
corporations (as defined in section
52(a)) and all members of a group of
businesses under common control
(as defined in section 52(b)), are
treated as a single taxpayer. As a
member, compute your credit based
on your proportionate share of
eligible access expenditures giving
rise to the group’s disabled access
credit. Enter your share of the credit
on line 6. Attach a statement
showing how your share of the credit
was figured, and write “See
attached” next to the entry space for
line 6.
Specific Instructions
Line 1
Enter total eligible access
expenditures paid or incurred during
the tax year. See Eligible Access
Expenditures on page 1.
Page
Line 6
Denial of double benefit. To the
extent of the credit shown on line 6,
the eligible access expenditures may
not be claimed as a deduction in
figuring taxable income, capitalized,
or used in figuring any other credit.
Paperwork Reduction Act Notice.
We ask for the information on this
form to carry out the Internal
Revenue laws of the United States.
You are required to give us the
information. We need it to ensure
that you are complying with these
laws and to allow us to figure and
collect the right amount of tax.
You are not required to provide
the information requested on a form
that is subject to the Paperwork
Reduction Act unless the form
displays a valid OMB control
number. Books or records relating to
a form or its instructions must be
retained as long as their contents
may become material in the
administration of any Internal
Revenue law. Generally, tax returns
and return information are
confidential, as required by section
6103.
2
The time needed to complete and
file this form will vary depending on
individual circumstances. The
estimated burden for individual
taxpayers filing this form is approved
under OMB control number
1545-0074 and is included in the
estimates shown in the instructions
for their individual income tax return.
The estimated burden for all other
taxpayers who file this form is
shown below.
Recordkeeping
1 hr., 54 min.
Learning about the
law or the form
24 min.
Preparing and sending
the form to the IRS
26 min.
If you have comments concerning
the accuracy of these time estimates
or suggestions for making this form
simpler, we would be happy to hear
from you. See the instructions for
the tax return with which this form is
filed.