Instructions For Ohio Form Ft 1120fi - Ohio Corporation Franchise Tax Report

The Order in Which Taxpayers Must Claim Nonrefundable Franchise Tax Credits

(R.C. 5733.98)

Credit

Nonrefundable Credit

Carryforward

R.C. Section

No.

Period

Credit Allowed to Financial Institutions for Dealer in Intangibles Tax

Paid by a Member of the Financial Institution’s Qualifying Controlled

Group

5733.45

Credit for Qualifying Afﬁ liated Groups (due to Related Entity and

Related Member Adjustments)

Not Applicable

5733.068

Credit for Savings and Loan Association Fees

None

5733.063

Credit for Recycling and Litter Prevention Donations

None

5733.064

Credit for Maintaining Railroad Crossing Warning Devices

None

5733.43

Job Retention Credit

Three years

5733.0610(B) &122.171

Credit for Qualiﬁ ed Research Expense

Seven years

5733.351

Credit for Eligible New Employees in an Enterprise Zone

Three years

5709.66

Ethanol Plant Investment Credit

Three years

5733.46 and 901.13

10.

Credit for Grape Production Property

Seven years

5733.32

11.

Technology Investment Credit

Fifteen years

5733.35, 122.15, 122.151,

122.152, 122.153, & 122.154

12.

Enterprise Zone Day Care and Training Credits

Unlimited*

5709.65(A)

13.

New Markets Credit

Four years

5725.33, 5729.16 and 5733.58

14.

Research and Development Loan Repayment Credit

Unlimited*

5733.352 and 166.17 thru

166.21

15.

Credit for Taxes Paid by a Qualifying Pass-Through Entity

Unlimited*

5733.0611

*Unlimited – Unused credit amounts may be carried forward until fully utilized

Note 1: Several nonrefundable credits listed in R.C. 5733.98 are not included in the table above because (i) the credit has expired, or

(ii) the credit was converted to a refundable credit, (iii) the credit was converted to a grant and/or (iv) the taxpayers to whom the credit

applied are subject to the franchise tax phase-out and commercial activity tax (CAT) phase-in.

• Expired credits listed in R.C. 5733.98 but not included in the table include: (i) the subsidiary corporation credit, (ii) the credit for

employers that enter into agreements with child day-care centers, (iii) the credit for employers that reimburse employee child day-

care expenses, (iv) the credit for employers that establish on-site child day-care centers, (v) the credit for purchases of lights and

reﬂ ectors for tractors, (vi) the credit for eligible costs associated with a voluntary, (vii) the export sales credit, and (viii) the credit for

selling alternative fuel.

• The credit for losses on loans to the Ohio venture capital program is not included in the table because Substitute Senate Bill 321,

126th Ohio General Assembly effective June 5, 2006 made this credit refundable. For refundable credits applicable to general tax-

payers see the line instructions for schedule A, line 24.

• The R.C. 5733.33 second credit for purchases of new manufacturing machinery and equipment (7.5%-13.5% credit) is not included

in the table because for taxable years ending after June 30, 2005 the 7.5%-13.5% credit converted to a nonrefundable grant. The

grant is claimed after all nonrefundable credits and before all refundable credits. See the line instructions for schedule A, line 21.

• Although included in the table for years 2009 and earlier, the following credits are not included in the table for 2012: (i) electric

company credit for using Ohio coal (R.C. 5733.39), (ii) credit for small telephone companies (R.C. 5733.57), (iii) telephone com-

pany credit for eligible nonrecurring 911 charges (R.C. 5733.55), and (iv) credit for providing programs to aid the communicatively

impaired (R.C. 5733.56). These credits speciﬁ cally apply only to electric companies and telephone companies. Electric companies

and telephone companies are not subject to the franchise tax for tax years 2010 and thereafter because of the franchise tax phase-

out and CAT phase-in. As such, the listed credits have been deleted from the table.

Note 2: Credits #1, 3 and 13 apply only to ﬁ nancial institutions.

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Instructions For Ohio Form Ft 1120fi - Ohio Corporation Franchise Tax Report - 2012 Page 23

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