Instructions For Form 8912 - Credit To Holders Of Tax Credit Bonds

A cooperative electric company is a mutual or cooperative

on line 13, and not on line 18. For example, if you own an

electric company described in section 501(c)(12) or section

interest in a partnership, and the partnership reports your share

1381(a)(2)(C).

of bond tax credits earned by the partnership on a Schedule K-1

(Form 1065) as well as on a Form 1097-BTC, do not

A governmental body is any state or Indian tribal

double-count these amounts. Include the amount reported to

government, or any political subdivision thereof.

you on Form 1097-BTC by the partnership on line 13, and not on

A public power provider is a state utility with a service

line 18.

obligation, as defined in section 217 of the Federal Power Act

(as in effect on October 3, 2008).

Line 3

A qualified renewable energy facility is a qualified facility

Enter the amount of the credit carryforward (from prior years)

(as determined under section 45(d) without regard to paragraphs

that is attributable to a qualified tax credit bond or a BAB. Credits

(8) and (10) and to any placed-in-service date) owned by a

attributable to a CREB, or a QZAB issued before October 4,

public power provider, a governmental body, or a cooperative

2008, cannot be carried forward.

electric company.

QECB. A QECB is any bond issued after October 3, 2008, by a

Line 5

state or local government as a qualified energy conservation

bond and 100% of the available project proceeds are used for

Estates and trusts must allocate any CREB credit on line 4

one or more qualified conservation purposes. See section 54D(f)

between the estate or trust and the beneficiaries in the same

for the definition of qualified conservation purposes.

proportion as income was allocated and enter the beneficiaries'

share on line 5.

QZAB. A QZAB is any bond issued by a state or local

government as a qualified zone academy bond and 100% of the

Part II—Allowable Credit

available project proceeds are used to improve certain eligible

The credit allowed for the current year may be limited based on

public schools (for QZABs issued before October 4, 2008, 95%

your tax liability. Use Part II to figure the allowable credit.

or more of the proceeds are used to improve certain eligible

public schools).

Line 10b

QSCB. A QSCB is any bond issued after February 17, 2009, by

a state or local government as a qualified school construction

Enter the total allowable credit, if any, from your tax return as

bond and 100% of the available project proceeds are used for

follows.

the construction, rehabilitation, or repair of a public school facility

Individuals. Enter the amount from Form 1040, lines 49 through

or for the acquisition of land on which the bond-financed facility

54 (Form 1040NR, lines 47 through 51). Do not include any

is to be constructed.

general business credit claimed on Form 3800, or any prior year

minimum tax.

BAB. A BAB is any bond (other than a private activity bond)

Estates and trusts. Enter the total of any write-in credits from

issued after February 17, 2009, and before January 1, 2011, by

Form 1041, Schedule G, line 2e.

an issuer who makes an irrevocable election to have the rules of

Corporations. Enter the amount from Form 1120, Schedule J,

section 54AA apply and, except for that election, the interest on

line 5b (or the applicable line of your return).

the bond would have been excludable under section 103.

Specific Instructions

Line 10c

Separate entries and calculations are required for each bond

If you are filing Form 3800, General Business Credit, enter the

with a different issuance date or a different credit rate.

credit from Form 3800.

Part I—Current Year Credit

Line 12

Complete Part(s) III and IV before completing Part I and

If you do not have an entry space for these credits on your tax

Part II. See the instructions for Parts III and IV for more

return, include the allowable credit on the “Total credits” line with

information.

the applicable notation (for example, “CREB” or “QECB”).

CAUTION

Holders of a CREB, or a QZAB issued before October 4,

Line 1

2008. If you cannot use all of the credit from Part I because of

the tax liability limit (for example, line 12 is smaller than line 4),

Enter the total from Part III, line 14. This amount is the total bond

you can deduct the unused credit for the current tax year.

credits reported to you on Form(s) 1097-BTC.

However, you can choose to deduct the unused credit in the

next tax year instead of the current tax year.

Line 2

Because a current year deduction may further reduce the tax

Enter the amount from Part IV, line 20. This amount is the total

liability limit, you may need to refigure the tax liability limit and

bond credits from bonds held by you or your nominee(s) and not

the unallowed credit. Refigure the unallowed credit until it equals

reported to you on Form(s) 1097-BTC. This amount may also

the deduction. It may be necessary to use the “trial and error”

include bond credits reported to you from a pass-through entity

method.

(partnership, S corporation, estate, trust, regulated investment

Holders of a qualified tax credit bond or a BAB. If you

company, and real estate investment trust) that were not

cannot use all of the credit from Part I (for example, line 12 is

reported to you on Form(s) 1097–BTC.

smaller than line 4), you may carry the unused portion of the

credit to the next tax year and add it to any credit allowable to

Note. You may receive Form(s) 1097-BTC from a pass-through

the holder of the same bond in the next tax year. A holder of a

entity reporting your share of bond tax credits. The entity may

qualified tax credit bond or BAB cannot deduct any unused

also report your share of bond tax credits on a form/schedule/

credit.

statement other than the Form(s) 1097-BTC. In such a case, do

not double-count amounts reported to you. Include any amount

Limitation on credit from pass-through entities. For a

reported to you on Form(s) 1097-BTC from a pass-through entity

CREB held by a pass-through entity, the credit included in line 1

-2-

Instructions For Form 8912 - Credit To Holders Of Tax Credit Bonds - 2014 Page 2

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