4.   General Business Credits

Introduction

Your general business credit for the year consists of your carryforward of business credits from prior years plus the total of your current year business credits. In addition, your general business credit for the current year may be increased later by the carryback of business credits from later years. You subtract this credit directly from your tax.

Useful Items - You may want to see:

Form (and Instructions)

  • 3800 General Business Credit

  • 6251 Alternative Minimum Tax—Individuals

See chapter 12 for information about getting publications and forms.

Business Credits

All of the following credits are part of the general business credit. The form you use to figure each credit is shown in parentheses. You will also have to complete Form 3800.

Agricultural chemicals security credit (Form 8931).   This credit applies to qualified agricultural chemical security expenses paid or incurred by eligible agricultural businesses. For more information, see Form 8931.

Alcohol and cellulosic biofuel fuels credit (Form 6478).   For more information, see Form 6478.

Alternative fuel vehicle refueling property credit (Form 8911).   This credit applies to the cost of any qualified fuel vehicle refueling property you placed in service. For more information, see Form 8911.

Alternative motor vehicle credit (Form 8910).   For more information, see Form 8910.

Biodiesel and renewable diesel fuels credit (Form 8864).   For more information, see Form 8864.

Carbon dioxide sequestration credit (Form 8933).   This credit is for carbon dioxide which is captured at a qualified facility and disposed of in a secure geological storage or used in a qualified enhanced oil or natural gas recovery project. For more information, see Form 8933.

Credit for employer social security and Medicare taxes paid on certain employee tips (Form 8846).   This credit is generally equal to your (employer's) portion of social security and Medicare taxes paid on tips received by employees of your food and beverage establishment where tipping is customary. The credit applies regardless of whether the food is consumed on or off your business premises. For more information, see Form 8846.

Credit for employer differential wage payments (Form 8932).   For more information, see Form 8932.

Credit for employer-provided childcare facilities and services (Form 8882).   This credit applies to the qualified expenses you paid for employee childcare and qualified expenses you paid for childcare resource and referral services. For more information, see Form 8882.

Credit for increasing research activities (Form 6765).   For more information, see Form 6765.

Credit for small employer health insurance premiums (Form 8941).   This credit applies to the cost of certain health insurance coverage you provide to certain employees. For more information, see Form 8941.

Credit for small employer pension plan startup costs (Form 8881).   This credit applies to pension plan startup costs of a new qualified defined benefit or defined contribution plan (including a 401(k) plan), SIMPLE plan, or simplified employee pension. For more information, see Publication 560, Retirement Plans for Small Business (SEP, SIMPLE, and Qualified Plans).

Disabled access credit (Form 8826).   This credit is a nonrefundable tax credit for an eligible small business that pays or incurs expenses to provide access to persons who have disabilities. You must pay or incur the expenses to enable your business to comply with the Americans with Disabilities Act of 1990. For more information, see Form 8826.

Distilled spirits credit (Form 8906).   This credit is available to distillers and importers of distilled spirits and eligible wholesalers of distilled spirits. For more information, see Form 8906.

Empowerment zone and renewal community employment credit (Form 8844).   For more information, see Form 8844.

Energy efficient appliance credit (Form 8909).   For more information, see Form 8909.

Energy efficient home credit (Form 8908).   For more information, see Form 8908.

Indian employment credit (Form 8845).   For more information, see Form 8845.

Investment credit (Form 3468).   For more information, see Form 3468.

Low sulfur diesel fuel production credit (Form 8896).   This credit is for the production of low sulfur diesel fuel by a qualified small business. For more information, see Form 8896.

Low-income housing credit (Form 8586).   This credit generally applies to each new qualified low-income building placed in service after 1986. For more information, see Form 8586.

Mine rescue team training credit (Form 8923).   For more information, see Form 8923.

New markets credit (Form 8874).   This credit is for qualified equity investments made in qualified community development entities. For more information, see Form 8874.

Nonconventional source fuel credit (Form 8907).   This credit is for qualified coke and coke gas you produced and sold to an unrelated person during the tax year. For more information, see Form 8907.

Orphan drug credit (Form 8820).   This credit applies to qualified expenses incurred in testing certain drugs for rare diseases and conditions. For more information, see Form 8820.

Qualified plug-in electric drive motor vehicle credit (Form 8936).   This credit is for new qualified plug-in electric drive motor vehicles placed in service during the tax year. For more information, including information on what is considered as a qualified plug-in electric drive motor vehicle, see Form 8936.

Qualified plug-in electric vehicle credit (Form 8834, Part I only).   This portion of the credit is for certain qualified plug-in electric vehicles. See Form 8834 for more information, including information on what is considered as a qualified plug-in electric vehicle.

Qualified railroad track maintenance credit (Form 8900).   For more information, see Form 8900.

Renewable electricity, refined coal, and Indian coal production credit (Form 8835).   This credit is for the sale of electricity, refined coal, or Indian coal produced in the United States or U.S. possessions from qualified energy resources at a qualified facility. For more information, see Form 8835.

Work opportunity credit (Form 5884).   This credit provides businesses with an incentive to hire individuals from targeted groups that have a particularly high unemployment rate or other special employment needs. For more information, see Form 5884.

How To Claim the Credit

To claim a general business credit, you will first have to get the forms you need to claim your current year business credits.

In addition to the credit form, you also need to file Form 3800.


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