Research Revitalization Act of 1980

Research Revitalization Act of 1980 - Amends the Internal Revenue Code to permit a taxpayer engaged in a trade or business an income tax credit equal to 25 percent of the cash contributions made by such taxpayer to a reserve fund established to finance research or experimentation related to the taxpayer's business. Limits the total amount of such credit to five percent of the taxable business income of the taxpayer for the taxable year. Exempts such reserve fund from income taxation. Allows an income tax deduction for research expenses paid out of the reserve fund during the taxable year.

Specifies that research financed pursuant to this Act shall be performed by an institution of higher education. Prescribes tax penalties for the use of funds from the research reserve for purposes other than research and experimentation.