Form 41a720-S37 Draft - Schedule Kra-T - Tracking Schedule For A Kra Project Page 2
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241A720-S37 (10-07)
Page 2
INSTRUCTIONS—SCHEDULE KRA-T
Credits must be claimed in the order prescribed by KRS
PURPOSE OF SCHEDULE—This schedule is used by any
141.0205. Total credits claimed cannot reduce the LLET
company which has entered into a reinvestment
below the $175 minimum. Total credits claimed cannot
agreement for a Kentucky Reinvestment (KRA) project
reduce the income tax liability below zero.
to maintain a record of the balance of approved costs
and income tax, limited liability entity tax and license
SPECIFIC INSTRUCTIONS
tax credits for the duration of the agreement. This
information is necessary for the company to determine
Column A—Enter on each line the ending date (month
the limitation of the tax credit throughout the life of the
and year) of the taxable year for which the information
project and to allow the Kentucky Department of
requested in Columns B and C is entered.
Revenue to verify that credit has been properly
computed.
Column B—For the taxable year that includes the
activation date of the reinvestment agreement, enter
GENERAL INSTRUCTIONS
total approved costs verified by the Kentucky Economic
Development Finance Authority. For each year
A single Schedule KRA-T, Tracking Schedule for a KRA
thereafter, enter the balance of approved costs after
Project, shall be maintained for the duration of each KRA
subtracting the prior year’s income tax credit claimed
project. Beginning with the first taxable year of the KRA
from the prior year’s approved costs. Also, enter on
reinvestment agreement, complete Columns A through
Schedule KRA, Part IV, Line 5.
C using a separate line for each tax year of the
reinvestment agreement. The company shall attach a
Column C—The KRA tax credit is applied against the
copy of this schedule updated with current year
corporation income tax imposed under KRS 141.040
information to the Schedule KRA which is filed with the
and/or the limited liability entity tax imposed under KRS
Kentucky tax return for the year.
141.0401. The tax credit calculated for each tax can be
different, however for tracking purposes, the maximum
amount used against either tax is recorded as amount
For Form 720, all tax credits are entered on Schedule
claimed. Enter the greater of Column E and Column F
TCS, a tax credit summary. The total tax credits
from Schedule TCS for this project.
calculated may exceed the amount that can be used.
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