Cadillac Square Corporation determined that $1,000,000 of its research tax on its current year tax return was uncertain, but that it was more likely than not to be sustained on audit. Management made the following assessment of the company’s potential tax benefit from the deduction and its probability of occurring.

What amount of the tax benefit related to the uncertain tax position from the research tax credit can Cadillac Square Corporation recognize in calculating its income tax provision in the current year?

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Cumulative Probability Potential Estimated Benefit of Occurring (%) Individual Probability of Occurring (%) $1,000,000 750,000 500,000 40 40 25 65 20 85 15 100