Instructions For Nebraska Advantage Act Incentive Computation, Form 312n (Page 7 of 7) in pdf

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Sales and use taxes. File Tax Incentive Claim for Refund of Sales and Use Taxes, Form 7-I, to claim an additional credit

refund. For a reduction to the credit usage, submit a detailed letter which includes an explanation of the change, a list of

items previously refunded, and a copy of the previously-approved refund.

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Income tax withholding. File an amended Nebraska Income Tax Withholding Return, Form 941N.

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Real estate tax. File amended Claim for Refund of Real Property Taxes, Form 312RP (Tiers 2LDC and 6 only).

After all benefits have been processed for the entitlement period, a project that is in recapture must reduce the end of entitlement

period credit balance by an amount dependent on the number of years of recapture and the date of application. The remaining

investment and compensation credit must be adjusted proportionally.

Contact the Department

for additional information on how

to calculate the recapture adjustment.

Line 12. Enter compensation credits used in the year to offset income tax withholding on any Forms 941N approved by

the Department.

Line 13. Enter tax credits used in the year for sales or use tax refunds on any Forms 7-I approved by the Department.

Line 14. Enter tax credits used for reimbursement of real estate taxes on any Forms 312RE approved by the Department.

Line 16. This line is only completed for years in the entitlement period.

If the project meets or exceeds the minimum levels of investment on line 10 and employment on line 7, enter the compensation

credits earned (Schedule A, line 15).

If the taxpayer failed to maintain the project at the minimum levels of investment and employment under the Act, no tax credits are

earned for the year. In addition, all benefits will be partially recaptured from either the taxpayer or the owner of the improvement

to real estate and any carryover of tax credits will be partially disallowed.

Contact the Department

for additional information.

Line 17. This line is only completed for years in the entitlement period.

If the project meets or exceeds the minimum levels of investment on line 10 and employment on line 7, enter the investment credits

earned (Schedule B, line 16).

If the taxpayer failed to maintain the project at the minimum levels of investment and employment under the Act, no tax credits are

earned for the year. In addition, all benefits will be partially recaptured from either the taxpayer or the owner of the improvement

to real estate and any carryover of tax credits will be partially disallowed.

Contact the Department

for additional information.

Line 21. The ending balance of tax credits calculated on line 21 should be carried forward to the following year’s Form 312N,

Page 2, line 11a.

Instructions For Nebraska Advantage Act Incentive Computation, Form 312n Page 7