§ 26-51-1508 - Development, operation, and tax credits.
26-51-1508. Development, operation, and tax credits.
(a) (1) All projects must be completed and properly functioning within three (3) years of the date of the certificate of tax credit approval, except if the commission determines that failure to comply with this subdivision (a)(1) is the result of conditions beyond the control of the taxpayer, an additional year to comply with this subdivision (a)(1) may be granted by the commission.
(2) If the taxpayer does not complete the project within the period provided in subdivision (a)(1) of this section, all credits claimed must be repaid to the department, and the project will be disallowed as a project for tax credit purposes.
(b) (1) Project activities shall meet or exceed those standards as established by the commission, and the project must be maintained for a minimum life of ten (10) years after it is certified as being complete.
(2) (A) If the taxpayer terminates the project prior to expiration of the minimum project life, the taxpayer shall provide written notification to the commission and the department.
(B) In addition, the taxpayer shall file an amended tax return and repay the amount of tax credit claimed which was not allowable.
(3) If the commission determines that the taxpayer has terminated the project, it shall notify the department.
(4) (A) Upon the termination of the project, the taxpayer shall not be allowed any further tax credits provided in this subchapter and the department shall recapture the pro rata share of any tax credits claimed under this subchapter for the period of termination.
(B) The pro rata share for recapture of the disallowed tax credits shall be determined by dividing the period of time from termination of the project until the expiration of the minimum life of the project by the required minimum life of the project times the tax credit claimed.
(C) Notwithstanding the provisions of 26-18-306, the department may make necessary assessments to recapture disallowed tax credits for a period of three (3) years from the date of expiration of the minimum life of the project.