(a) In the case of a qualified research contribution, the amount otherwise allowed as a deduction under Section 24357, shall be reduced by that amount of the reduction provided by Section 24357.1 which is no greater than the sum of the following:

1. (1) One-half of the amount computed pursuant to Section 24357.1 (computed without regard to this paragraph).
2. (2) The amount (if any) by which the charitable contribution deduction under this section for any qualified research contribution (computed by taking into account the amount determined by paragraph (1), but without regard to this paragraph) exceeds twice the basis of the property.

(b) For purposes of this section, “qualified research contribution” means a charitable contribution by a taxpayer of tangible personal property described in paragraph (1) of Section 1221 of the Internal Revenue Code, but only if all of the following conditions are met:

1. (1) The contribution is to an educational organization which is described in subsection (b)(1)(A)(ii) of Section 170 of the Internal Revenue Code and which is an institution of higher education (as defined in Section 3304(f) of the Internal Revenue Code of 1954) in California.
2. (2) The contribution is made not later than two years after the date the construction of the property is substantially completed.
3. (3) The original use of the property is by the donee.
4. (4) The property is scientific equipment or apparatus substantially all of the use of which by the donee is for research or experimentation (within the meaning of Section 24365), or for research training, in physical, applied, or biological sciences, or for instructional purposes.
5. (5) The property is not transferred by the donee in exchange for money, other property, or services.
6. (6) The taxpayer receives from the donee a written statement representing that its use and disposition of the property will be in accordance with this section, and with respect to property substantially all of the use of which is for instructional purposes, the taxpayer receives from the donee a written statement representing that the property will be used as an integral part of the instructional program. In the case of a computer, the statement shall also represent that the donee has acquired or will acquire, necessary basic operational software and the means to provide trained staff to utilize the property.
7. (7) The contribution is made on or after July 1, 1983, and on or before December 31, 1993.

8. (8) The taxpayer shall report to the Franchise Tax Board, on forms prescribed by the board, the name and address of the recipient educational organization, a description of the qualified charitable contribution, the fair market value of the contribution, and the date the contribution was made. The taxpayer shall forward a copy of the forms, along with the written statements prescribed in paragraph (6), to the following:

   1. (A) The President of the University of California, in the case of contributions to institutions within the University of California system.
   2. (B) California Postsecondary Education Commission, in the case of contributions to private institutions.
   3. (C) The Chancellor of the California State University, in the case of contributions to institutions within the California State University system.
   4. (D) The Chancellor of the California Community Colleges, in the case of contributions to institutions within the California Community College system.