Fillable Form 511cr - Other Credits Form - 2012 (Page 3 of 11) in pdf

2012 Form 511CR – page 3

(Do not mail pages 3 - 11 with your income tax return)

Notice

Tax credits transferred or allocated must be reported on Oklahoma Tax Commission (OTC) Form 569. Failure to file Form

569 will result in the affected credits being denied by the OTC pursuant to 68 Oklahoma Statutes (OS) Sec. 2357.1A-2.

Other Credits Information

Oklahoma Investment/New Jobs Credit

Manufacturers, who hold a manufacturer’s exemption permit, may qualify for the Oklahoma Investment/New Jobs Credit

based on either an investment in depreciable property of at least $50,000 or on the addition of full-time equivalent employ-

ees engaged in manufacturing, processing or aircraft maintenance. A web search portal establishment may also qualify

for the credit based on an investment in depreciable property of at least $50,000. The credit, once established, is also

allowed in each of the four subsequent years if the level of new employees is maintained or the qualified property is not

sold, disposed of or transferred. Any credit allowed but not used may be carried over in order to each of the four years

following the year of qualification and to the extent not used in those years in order to each of the 15 years following the

initial five-year period. To the extent not used, any credit from qualified depreciable property placed in service on or after

January 1, 2000, may be utilized in subsequent tax years after the initial twenty-year period. Enclose Form 506. 68 OS

Sec. 2357.4 and Rule 710:50-15-74.

Note: Tax Credit Moratorium - No credit may be claimed for assets placed in service or new jobs created on or after July

1, 2010 through June 30, 2012, until July 1, 2012. Credits generated during this time period are deferred, and may be

claimed beginning with tax year 2012 returns, subject to the limitations.

Coal Credit

Sec. 2357.11 (B) provides for a coal credit, for the purchase of Oklahoma-mined coal, to businesses providing water, heat,

light or power from coal to the citizens of Oklahoma or to those which burn coal to generate heat, light or power for use in

manufacturing operations in Oklahoma. An additional credit is allowed for Oklahoma-mined coal purchased.

Sec. 2357.11 (D) provides for a coal credit to businesses primarily engaged in mining, producing or extracting coal in this

state. A valid permit issued by the Oklahoma Department of Mines must be held. The credit provided for in this paragraph

will not be allowed for coal mined, produced or extracted in any month in which the average price of coal is $68 or more

per ton, excluding freight charges.

Any credit allowed but not used will have a five year carryover provision following the year of qualification. The credit is

freely transferable to any taxpayer at any time during the five years following the year of qualification upon the filing of the

transfer agreement, Form 572, along with an OTC acknowledgment of credits earned. The transferee shall enclose these

same forms with the Form 511CR. Note: This credit, upon the election of the taxpayer, may be claimed as a payment or

prepayment of tax or as an estimated tax payment. If this election is made, the credit should be claimed on this line of

Form 511CR. 68 OS Sec. 2357.11 and Rule 710:50-15-76.

Note: Tax Credit Moratorium - No credit may be claimed for coal purchased, mined, produced or extracted during the

period of July 1, 2010 through June 30, 2012, for which the credit would otherwise be allowable. This credit may be

claimed for tax year 2012 and subsequent tax years, for Oklahoma-mined coal for qualifying purposes purchased, mined,

produced or extracted on or after July 1, 2012.

Credit for Investment in a Clean-Burning Motor Vehicle Fuel Property

or Investment in Qualified Electric Motor Vehicle Property

a) A credit is allowed for investments in qualified clean-burning motor vehicle fuel property. For credits established in tax

year 2010 and thereafter, any credit allowed but not used will have a five year carryover provision. For credits estab-

lished in tax years 2009 and prior, any credit allowed but not used will have a three year carryover provision. Enclose

Form 567-A for the Credit for Investment in a Clean-Burning Motor Vehicle Fuel Property.

b) A credit for investment in qualified electric motor vehicle property that was established in a prior year but not used due

to the limitations provided may be carried over. The unused credit may be carried over for a period not to exceed three

years if the credit was established in tax years 2009 and prior. The unused credit may be carried over for a period not

to exceed five years if the credit was established in tax year 2010.

68 OS Sec. 2357.22 and Rule 710:50-15-81.

Form 511cr - Other Credits Form - 2012 Page 3

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