Re: Tax Reform Act of 1986 Kaars, Charles 14 Jan 1999 15:03 EST
These issues are discussed fully in IRS Revenue Procedure 97-14. -----Original Message----- From: Research Administration Discuss [mailto:xxxxxx@HRINET.ORG] Sent: Thursday, January 14, 1999 2:17 PM To: RESADM-L Subject: Re: Tax Reform Act of 1986 Chuck, thnx, I was aware of the IP issue, but I recently heard that publication restriction could also trigger a project being considered as "private use", and am trying to track down the veracity of that claim. L > -----Original Message----- > From: Herbert B. Chermside [SMTP:xxxxxx@VCU.EDU] > Sent: Thursday, January 14, 1999 12:59 PM > To: xxxxxx@hrinet.org > Subject: Re: Tax Reform Act of 1986 > > Len, the problem that I deal with (and it's the only one I'm aware of) > is > burried in the committee report: > If an institution specifies a "price" or royalty rate for intellectual > property BEFORE the IP is "ready for sale", the insititution looses > the > right to issue tax free bonds. > > This was a legislative reaction to some of the big deals where some > insititutions committed that all future inventions from some segment > of the > institution went to a big ($M, $$M) sponsor at a set royalty rate -- > remember that in the early 80's a number of big sponsors, some being > foreign, made such deals. > > I overcome the problem by NEVER putting a ROYALTY RATE into a > sponsored > program. I will agree to "reasonable", "usual in the industry", or > even a > (abnormally high) ceiling on rate, adding that final rate will be > negotriated aftrer both we and sponsor have had time to evaluate the > specific inventions. > > Chuck > > > > > At 12:06 PM 1/12/99 -0500, Paplauskas,Leonard wrote: > >Can anyone point me to a reference on the impact of this legislation > on > >universities? > > > >Thanks, > > > >Leonard P. Paplauskas > >Assistant Vice Chancellor for Research > >University of Connecticut Health Center > >Farmington, CT 06030-5355 > >860-679-3173 (voice) > >860-679-2670 (fax) > >xxxxxx@adp.uchc.edu > > > > > >===================================================================== > ======== > > > Herbert B. Chermside, CRA > Director, Sponsored Programs Administration > Virginia Comonwealth University > PO BOX 980568 > Richmond, VA 23298-0568 > Express Delivery Only: > Sanger Hall, Rm. 1-073 > 11th & Marshall Streets > Richmond, VA 23219 > Voice: 804-828-6772 > Fax 804-828-2521 > OFFICE e-mail xxxxxx@VCU.EDU > Personal e-mail xxxxxx@vcu.edu > http://views.vcu.edu/views/ospa/ > > > ====================================================================== > ======= ========================================================================== === ============================================================================