15.331C - CORPORATE TAX CREDIT FOR CERTAIN SALES TAXES PAID BY THIRD-PARTY DEVELOPER.
15.331C CORPORATE TAX CREDIT FOR CERTAIN SALES TAXES
PAID BY THIRD-PARTY DEVELOPER.
1. An eligible business may claim a corporate tax credit in an
amount equal to the sales and use taxes paid by a third-party
developer under chapter 423 for gas, electricity, water, or sewer
utility services, goods, wares, or merchandise, or on services
rendered, furnished, or performed to or for a contractor or
subcontractor and used in the fulfillment of a written contract
relating to the construction or equipping of a facility of the
eligible business. Taxes attributable to intangible property and
furniture and furnishings shall not be included, but taxes
attributable to racks, shelving, and conveyor equipment to be used in
a warehouse or distribution center shall be included. Any credit in
excess of the tax liability for the tax year may be credited to the
tax liability for the following seven years or until depleted,
whichever occurs earlier. An eligible business may elect to receive
a refund of all or a portion of an unused tax credit.
2. A third-party developer shall state under oath, on forms
provided by the department of revenue, the amount of taxes paid as
described in subsection 1 and shall submit such forms to the
department of revenue. The taxes paid shall be itemized to allow
identification of the taxes attributable to racks, shelving, and
conveyor equipment to be used in a warehouse or distribution center.
After receiving the form from the third-party developer, the
department of revenue shall issue a tax credit certificate to the
eligible business equal to the sales and use taxes paid by a
third-party developer under chapter 423 for gas, electricity, water,
or sewer utility services, goods, wares, or merchandise, or on
services rendered, furnished, or performed to or for a contractor or
subcontractor and used in the fulfillment of a written contract
relating to the construction or equipping of a facility. The
department of revenue shall also issue a tax credit certificate to
the eligible business equal to the taxes paid and attributable to
racks, shelving, and conveyor equipment to be used in a warehouse or
distribution center. The aggregate combined total amount of tax
refunds under section 15.331A for taxes attributable to racks,
shelving, and conveyor equipment to be used in a warehouse or
distribution center and of tax credit certificates issued by the
department of revenue for the taxes paid and attributable to racks,
shelving, and conveyor equipment to be used in a warehouse or
distribution center shall not exceed five hundred thousand dollars in
a fiscal year. If an applicant for a tax credit certificate does not
receive a certificate for the taxes paid and attributable to racks,
shelving, and conveyor equipment to be used in a warehouse or
distribution center, the application shall be considered in
succeeding fiscal years. The eligible business shall not claim a tax
credit under this section unless a tax credit certificate issued by
the department of revenue is attached to the taxpayer's tax return
for the tax year for which the tax credit is claimed. A tax credit
certificate shall contain the eligible business's name, address, tax
identification number, the amount of the tax credit, and other
information deemed necessary by the department of revenue. Section History: Recent Form
2004 Acts, ch 1003, §3, 12; 2005 Acts, ch 19, §14; 2005 Acts, ch
150, §47, 68, 69; 2009 Acts, ch 82, §4
Referred to in § 15.119, 15.331A, 15.335A, 422.33, 422.60,
432.12H, 533.329
For aggregate limitations on amount of tax credits, see §15.119