Georgia Partnership Income Tax Return Instructions For 2001 (Form 700) (Page 5 of 5) in pdf

STATE OF GEORGIA

DEPARTMENT OF REVENUE

INCOME TAX DIVISION

1800 CENTURY CENTER BLVD. NE

ATLANTA, GA 30345-3205

FORWARDING SERVICE REQUESTED

TO:

_____________________________________

TAX CREDITS

(continued)

Optional Investment Tax Credit. The credit is similar to the regular investment tax credit. However, there are higher

spending thresholds, as well as a ten-year calculation. As with the Manufacturer’s Investment Tax Credit, prior approval is

required (use Form OIT-APP). The Optional Investment Tax Credit is computed on Form OIT-IC. For additional information

refer to Georgia Code Section 48-7-40.7, 40.8, and 40.9.

Qualified Transportation Credit. A tax credit of $25 per employee for any “qualified transportation fringe benefit” provided by

an employer to an employee as provided in Section 132(f) of the Internal Revenue Code of 1986. For additional information

refer to Georgia Code Section 48-7-29.3.

Research Tax Credit. Business enterprises that qualify for the federal research tax credit may also qualify for a credit against

their Georgia Income Tax. The credit is claimed on a Form IT-RD. For more information call the Tax Conferee’s Office at (404)

417-2400 or refer to Georgia Code Section 48-7-40.12.

Small Company Business Growth Tax Credit. This is a credit to reward rapidly growing small businesses. If your company

has a Georgia taxable income of less than $1.5 million then you may qualify. This credit rewards business enterprises which

can show a 20% increase in Georgia net taxable income in each of three years. This credit is claimed on Form IT-RG. For

additional information refer to Georgia Code Section 48-7-40.13.

Port Activity Tax Credit. To increase usage of Georgia Ports, Georgia has a port activity tax credit. Taxpayers who other-

wise qualify for the job tax credit or the investment tax credits can qualify for enhanced credit values from these tax credits. For

additional information call the Tax Conferee’s Office at (404) 417-2400 or refer to Georgia Code Section 48-7-40.15.

FUTURE TAX CREDITS

Beginning with taxable years beginning on or after January 1, 2002, a business enterprise will be eligible for a credit for the

purchase of a motor vehicle that is used exclusively to provide transportation for its employees. In order to qualify, a business

enterprise must certify that each vehicle carries an average daily ridership of not less than four employees. This credit is

$3,000 in tier one counties and $2,000 in tier two counties. Business enterprise is defined as any business or the headquar-

ters of any such business which is engaged in manufacturing, warehousing and distribution, processing, telecommunications,

tourism, research and development industries, child care businesses, or retail businesses. For additional information refer to

Georgia Code Section 48-7-40.22.

ADDITIONAL INFORMATION

In claiming each credit, please attach the form used to compute the credit. Taxpayers must elect the investment tax credit, the

optional investment tax credit or the job tax credit for their operations in Georgia, but only one for a given project. For more

details about credits and the latest forms, please visit our website at: www2.state.ga.us/departments/dor/inctax/

taxcredits.shtml or call the Department and request the publication, “Information on Income Tax Credits for Georgia

Businesses.”

Georgia Partnership Income Tax Return Instructions For 2001 (Form 700) Page 5