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Form 44 2022
Business Income Tax Credits, Credit Recapture,
and Nonrefundable Credit From a Prior Year Return
Names as shown on return Social Security number or EIN

Part I — Business Income Tax Credits

Credit Allowed Carryover
1. Investment tax credit. Include Form 49 ........................................... ▪ 1 ▪
2. Credit for production equipment using post-consumer waste ......... ▪ 2 ▪
3. Promoter-sponsored event credit .................................................... ▪ 3
4. Credit for Idaho research activities. Include Form 67 ...................... ▪ 4 ▪
5. Broadband equipment investment credit. Include Form 68 ............. ▪ 5 ▪
6. Small employer investment tax credit. Include Form 83 .................. ▪ 6 ▪
7. Small employer real property improvement tax credit.
Include Form 84 ............................................................................... ▪ 7 ▪
8. Small employer new jobs tax credit. Include Form 85 ..................... ▪ 8 ▪
9. Credit for employer contributions to employee’s Idaho college
savings account. Include Form ID-529 ............................................ ▪ 9 ▪
10. Total business income tax credits allowed. Add lines 1 through 9 ... ▪ 10
Part II — Tax from Recapture of Business Income Tax Credits

Tax from recapture of:
1. Investment tax credit. Include Form 49R ......................................................................... ▪ 1
2. Broadband equipment investment credit. Include Form 68R ........................................... ▪ 2
3. Small employer investment tax credit. Include Form 83R ................................................ ▪ 3
4. Small employer real property improvement tax credit. Include Form 84R ....................... ▪ 4
5. Small employer new jobs tax credit. Include Form 85R ................................................... ▪ 5
6. Total tax from recapture of business income tax credits. Add lines 1 through 5 .............. ▪ 6
Part III — Nonrefundable Credit From a Prior Year Return

By completing this section, I am filing my claim for credit.
A B C D E F G
Year ▪
Nonrefundable
Credit ▪
1. Total nonrefundable credit. Add columns A through G ..................................................... ▪ 1
2. Reserved for tax year 2023 .............................................................................................. ▪ 2
3. Add lines 1 and 2. This is your total credit ....................................................................... ▪ 3
4. Enter tax due, plus penalty and interest from applicable form ......................................... ▪ 4
5. Credit allowed. If line 4 is less than line 3, this is your allowed credit.
If line 4 is more than line 3, enter the amount from line 3 ................................................ ▪ 5
6. Credit remaining for future years. Subtract line 5 from line 3.
If the result is less than zero, enter zero........................................................................... ▪ 6
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Form 44 — Instructions 2022
Business Income Tax Credits and Credit Recapture

Part I of Form 44 provides a list of the Idaho the combined group rather than carried forward
business credits allowed and the credit carryover to future years:
amounts. • Investment tax credit
Part II of Form 44 provides a list of the tax from • Credit for Idaho research activities
recapture of income tax credits. • Broadband equipment investment credit
• Small employer income tax credits
You must include Form 44 with your return if
you’re claiming any business income tax credits The corporation that earned the credit must
or have any tax from recapture of income tax claim the credit to the extent allowable against
credits. its tax liability before sharing the credit with other
members. A corporation that receives the credit
Forms 41 and 41S
through unitary sharing computes the applicable
Carry the total of the business income tax credits
limitations based on its tax. Any unused credit
allowed and the tax from recapture of income tax
remains with the member that earned the credit.
credits to Form 41.
Include a schedule identifying the member earning
If the S corporation pays the tax for one or the credit and the members using the credit.
more nonresident individual shareholders, carry
The broadband equipment investment credit can be
those shareholders’ proportionate share of the
transferred to another taxpayer rather than used by
total business income tax credits and tax from
the taxpayer who earns the credit.
recapture of income tax credits to Form 41S.
Don’t enter the total credit or tax from recapture To claim a credit you acquired through a transfer,
if the S corporation isn’t paying the tax for all the include a copy of the Form 70, Statement of Credit
shareholders. Transfer, with each return on which you’re claiming
a transferred credit.
You can use credits earned by a C corporation
before becoming an S corporation to offset Line 1 Investment Tax Credit (ITC)
any tax on excess net passive income or net If you acquire an asset for use in your business, you
recognized built-in gains, subject to the credit may have earned an ITC.
limitations. Include a schedule showing the
application of the credit carryovers to the S Credit Allowed. Enter the credit allowed from
corporation’s tax. Form 49, Part II, line 8.

Form 65 Carryover. Enter the credit available minus the
If the partnership pays the tax for one or more credit allowed: Form 49, Part II, line 7 minus line 8.
nonresident individual partners, those partners’
distributive share of the total business credits and Line 2 Credit for Production Equipment Using
tax from recapture of income tax credits is carried Post-consumer Waste
to the Form 65. Don’t include the total credit or If you bought equipment that manufactures a
tax from recapture if the partnership isn’t paying product from post-consumer or post-industrial
the tax for all the partners. waste, you may be eligible for a tax credit.
The credit is 20% of your cost to buy qualified
Part I — Business Income Tax Credits equipment.
Part I has two columns: the Credit Allowed
Qualified equipment is machinery or equipment
column for the amount of credit allowed for
in Idaho with a useful life of three years or more.
the tax year and the Carryover column for the
In addition, 90% of the equipment’s production
amount of carryover that exists at the end of the
must result in products using post-consumer or
tax year.
post-industrial waste.
If the corporation files a combined return, the
Product is any manufactured material that’s
following credits can be shared with members of
composed of at least 50% of post-consumer
or post-industrial waste and offered for sale.
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Form 44 — Instructions 2022 (continued)

Product doesn’t include shredded material unless • Tax available:
it’s incorporated directly into the manufacturing If filing Form 41, the tax on line 38 minus
process. the amounts on lines 39, 40, and Form
Post-consumer or post-industrial waste includes 44, Part I, lines 1 and 2
only glass, paper, or plastic that has been or If filing Form 41S, the tax on line 44
would have been disposed of as solid waste. It minus the amounts on lines 45, 46, and
doesn’t include radioactive or hazardous waste. Form 44, Part I, lines 1 and 2
Include a schedule showing your computations, If filing Form 65, the tax on line 42 minus
listing the qualified equipment, identifying the the amounts on lines 43, 44, and Form
post-consumer or post-industrial waste products, 44, Part I, lines 1 and 2
and identifying the newly manufactured products. If filing Form 66, the tax on line 11 minus
Credit Allowed. Enter the smallest of: the amounts on Schedule B, lines 2, 3,
• $30,000 and 4 and Form 44, Part I, lines 1 and 2

• 20% of the cost to purchase qualified Line 4 Credit for Idaho Research Activities
equipment plus the amount of credit carried If you incurred expenses for research conducted
forward, or in Idaho, you may have earned the credit for Idaho
• Tax available: research activities.
If filing Form 41, the tax on line 38 minus Credit Allowed. Enter the credit allowed from
the amounts on lines 39, 40, and Form Form 67, line 29. Include Form 67.
44, Part I, line 1 Enter the amount of credit carryover to
Carryover.
If filing Form 41S, the tax on line 44 future years from Form 67, line 30.
minus the amounts on lines 45, 46, and
Form 44, Part I, line 1 Line 5 Broadband Equipment Investment Credit
If you acquired qualified broadband equipment to
If filing Form 65, the tax on line 42 minus
use in your Idaho business, you may qualify for
the amounts on lines 43, 44, and Form
the broadband equipment investment credit. You
44, Part I, line 1
also may claim this credit if you acquired the credit
If filing Form 66, the tax on line 11 minus through a transfer.
the amounts on Schedule B, lines 2, 3,
and 4 and Form 44, Part I, line 1 Credit Allowed. Enter the credit allowed from Form
68, line 18. Include Form 68.
Carryover. Enter the amount of credit available
minus the amount allowed. Include a schedule Carryover. Enter the amount of credit carryover to
showing your computations. You may carry future years from Form 68, line 19.
forward the unused portion of the credit up to
seven years. Line 6 Small Employer Investment Tax Credit
You can claim this credit if you’ve certified by filing
Line 3 Promoter-sponsored Event Credit Form 89SE that you’ve met or will meet the tax
If you issued temporary sales tax permits to incentive criteria for this credit, and you’ve acquired
participants of a promoter-sponsored event on an asset for use in your business that otherwise
behalf of the Tax Commission, you can claim a qualifies for the ITC.
$1 credit for each temporary permit issued during
the tax year. Promoter-sponsored events include Credit Allowed. Enter the credit allowed from
swap meets, flea markets, gun shows and fairs. Form 83, line 28. Include Form 83.
You must have filed Form ST-124 with the Tax
Carryover. Enter the amount of credit carryover to
Commission to qualify for the credit.
future years from Form 83, line 29.
Credit allowed. Enter the smaller of:
• $1 for each temporary permit issued during
the tax year, or

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Form 44 — Instructions 2022 (continued)

Line 7 Small Employer Real Property Line 2 Tax From Recapture of Broadband
Improvement Tax Credit Equipment Investment Credit
You can claim this credit if you’ve certified by If you’ve claimed a broadband equipment
filing Form 89SE that you’ve met or will meet the investment credit on property that no longer
tax incentive criteria for this credit, and you’ve qualifies before the end of the five-year recapture
acquired real property improvements for use in period, you must compute the broadband equipment
your business at the project site during the project investment credit recapture. This includes property
period. that no longer qualifies for the ITC.
Credit Allowed. Enter the credit allowed from Enter the amount from Form 68R, Part III, line 15.
Form 84, line 26. Include Form 84. Include Form 68R.

Carryover. Enter the amount of credit carryover Line 3 Tax From Recapture of Small Employer
to future years from Form 84, line 27. Investment Tax Credit
If you’ve claimed a small employer investment tax
Line 8 Small Employer New Jobs Tax Credit credit on property that no longer qualifies before
You can claim this credit if you’ve certified by the end of the five-year recapture period, you must
filing Form 89SE that you’ve met or will meet the compute the small employer investment tax credit
tax incentive criteria for this credit, and you have recapture. This includes property moved outside
qualified new employees at the project site during of Idaho.
the project period. You also must compute recapture if you didn’t meet
Credit Allowed. Enter the credit allowed from the tax incentive criteria required to qualify for this
Form 85, line 35. Include Form 85. credit at the project site during the project period.
Enter the amount from Form 83R, Part III, line 15.
Carryover. Enter the amount of credit carryover Include Form 83R.
to future years from Form 85, line 36.
Line 4 Tax From Recapture of Small Employer
Line 9 Employer Contributions to Employee’s Real Property Improvement Tax Credit
Idaho College Savings Account If you’ve claimed a small employer real property
If you contributed to an employee’s Idaho college improvement tax credit on property that no longer
savings account, you may qualify for the credit for qualifies before the end of the five-year recapture
employer contributions to an employee’s Idaho period, you must compute the small employer real
college savings account. property improvement tax credit recapture.
Credit Allowed. Enter the credit allowed from You also must compute recapture if you didn’t meet
Form ID-529, line 17. Include Form ID-529. the tax incentive criteria required to qualify for this
credit at the project site during the project period.
Carryover. Enter the amount of credit carryover
Enter the amount from Form 84R, Part III, line 15.
to future years from Form ID-529, Part III, line 3.
Include Form 84R.
Part II — Tax From Recapture of Income
Line 5 Tax From Recapture of Small Employer
Tax Credits New Jobs Tax Credit
Line 1 Tax From Recapture of ITC If you’ve claimed a small employer new jobs tax
If you’ve claimed an ITC on property that no credit and you didn’t maintain the required level of
longer qualifies before the end of the five-year new employees for the entire five-year recapture
recapture period, you must compute the ITC period, you must compute the small employer new
recapture. This includes property moved outside jobs tax credit recapture.
of Idaho.
Enter the amount from Form 49R, Part III, line 15.
Include Form 49R.

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                                                                Form 44 — Instructions     2022     (continued)         

You also must compute recapture if you didn’t meet      The credit allowed is limited to tax due on a timely 
the tax incentive criteria required to qualify for this filed return or tax due plus penalty and interest on 
credit at the project site during the project period.   a late filed return.

Enter the amount from Form 85R, line 13. Include        Report the credit allowed on one of the following 
Form 85R.                                               forms:
Part III — Nonrefundable Credit From a                  •  Form 40, line 53
Prior Year Return                                       •  Form 43, line 73
                                                        •  Form 41, line 60
If you were denied a refund from an overpayment 
of tax on a prior year return because of the            •  Form 41S, line 67
three-year statute of limitations, you may be           •  Form 65, line 63
eligible to take a credit for that amount. Use this     •  Form 66, line 32
form to calculate the credit and include it with 
your return.                                            The remaining credit is the nonrefundable credit 
                                                        amount minus the credit allowed. The remaining 
Claiming a credit on this form is treated as filing     credit may be used in subsequent years against 
a claim for credit in lieu of filing an amended         tax due.
return. The credits claimed in this section can 
be reviewed as if they were being claimed on an 
amended return.

Enter the year of the denied refund in the year row 
and the amount in the nonrefundable credit row. 
Generally, you have 10 years from the original due 
date of the tax return to file a claim for credit.

                                                  Contact us:
                    In the Boise area: (208) 334-7660  |Toll free: (800) 972-7660
                           Hearing impaired (TDD) (800) 377-3529
                                       tax.idaho.gov/contact
EIN00097 01-31-2023                                                                                  Page 4 of 4

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