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Form 44 2023
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. Carryover from prior year ................................................................................................. ▪ 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                                             2023
                          Business Income Tax Credits, Credit Recapture, 
                          and Nonrefundable Credit From a Prior Year Return

Part I of Form 44 provides a list of the Idaho        If the corporation files a combined return, the 
business credits allowed and the credit carryover     following credits can be shared with members of 
amounts.                                              the combined group rather than carried forward 
                                                      to future years:
Part II of Form 44 provides a list of the tax from 
                                                      •  Investment tax credit 
recapture of income tax credits.
                                                      •  Credit for Idaho research activities
You must include Form 44 with your return if          •  Broadband equipment investment credit
you’re claiming any business income tax credits 
                                                      •  Small employer income tax credits
or have any tax from recapture of income tax 
credits.                                              The corporation that earned the credit must 
                                                      claim the credit to the extent allowable against 
Forms 41 and 41S
                                                      its tax liability before sharing the credit with other 
Carry the total of the business income tax credits 
                                                      members. A corporation that receives the credit 
allowed and the tax from recapture of income tax 
                                                      through unitary sharing computes the applicable 
credits to Form 41. 
                                                      limitations based on its tax. Any unused credit 
If the S corporation pays the tax for one or          remains with the member that earned the credit. 
more nonresident individual shareholders, carry       Include a schedule identifying the member earning 
those shareholders’ proportionate share of the        the credit and the members using the credit.
total business income tax credits and tax from 
                                                      The broadband equipment investment credit can be 
recapture of income tax credits to Form 41S. 
                                                      transferred to another taxpayer rather than used by 
Don’t enter the total credit or tax from recapture 
                                                      the taxpayer who earns the credit.
if the S corporation isn’t paying the tax for all the 
shareholders.                                         To claim a credit you acquired through a transfer, 
                                                      include a copy of Form 70, Statement of Credit 
You can use credits earned by a C corporation 
                                                      Transfer, with each return on which you’re claiming 
before becoming an S corporation to offset 
                                                      a transferred credit.
any tax on excess net passive income or net 
recognized built-in gains, subject to the credit      Line 1 Investment Tax Credit (ITC)
limitations. Include a schedule showing the           If you acquire an asset for use in your business, you 
application of the credit carryovers to the S         may have earned an ITC.
corporation’s tax.
                                                      Credit Allowed. Enter the credit allowed from 
Form 65
                                                      Form 49, Part II, line 9.
If the partnership pays the tax for one or more 
nonresident individual partners, those partners’      Carryover. Enter the credit available minus the 
distributive share of the total business credits and  credit allowed: Form 49, Part II, line 7 plus line 8, 
tax from recapture of income tax credits is carried   minus line 9 or Form 49ABE, Part II, line 5 minus 
to Form 65. Don’t include the total credit or tax     line 6.
from recapture if the partnership isn’t paying the 
tax for all the partners.                             Line 2 Credit for Production Equipment Using 
                                                      Post-consumer Waste
Part I — Business Income Tax Credits                  If you bought equipment that manufactures a 
Part I has two columns: the Credit Allowed            product from post-consumer or post-industrial 
column for the amount of credit allowed for           waste, you may be eligible for a tax credit. 
the tax year and the Carryover column for the         The credit is 20% of your cost to buy qualified 
amount of carryover that exists at the end of the     equipment.
tax year.
                                                      Qualified equipment is machinery or equipment 
                                                      in Idaho with a useful life of three years or more. 

EIN00097 09-05-2023                                                                                Page 1 of 4

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Form 44 — Instructions 2023 (continued)

In addition, 90% of the equipment’s production swap meets, flea markets, gun shows and fairs.
must result in products using post-consumer or You must have filed Form ST-124 with the Tax
post-industrial waste. Commission to qualify for the credit.
Product is any manufactured material that’s Credit allowed. Enter the smaller of:
composed of at least 50% of post-consumer • $1 for each temporary permit issued during
or post-industrial waste and offered for sale. the tax year, or
Product doesn’t include shredded material unless
• Tax available:
it’s incorporated directly into the manufacturing
process. If filing Form 41, the tax on line 38 minus
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
would have been disposed of as solid waste. It If filing Form 41S, the tax on line 44
doesn’t include radioactive or hazardous waste. minus the amounts on lines 45, 46, and
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
equipment plus the amount of credit carried Line 4 Credit for Idaho Research Activities
forward, or If you incurred expenses for research conducted
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 27. Include Form 67.
44, Part I, line 1
If filing Form 41S, the tax on line 44 Carryover. Enter the amount of credit carryover to
minus the amounts on lines 45, 46, and future years from Form 67, line 30.

Form 44, Part I, line 1
Line 5 Broadband Equipment Investment Credit
If filing Form 65, the tax on line 42 minus If you acquired qualified broadband equipment to
the amounts on lines 43, 44, and Form use in your Idaho business, you may qualify for
44, Part I, line 1 the broadband equipment investment credit. You
If filing Form 66, the tax on line 11 minus also may claim this credit if you acquired the credit
the amounts on Schedule B, lines 2, 3, through a transfer.
and 4 and Form 44, Part I, line 1
Credit Allowed. Enter the credit allowed from Form
Carryover. Enter the amount of credit available 68, line 16. Include Form 68.
minus the amount allowed. Include a schedule
showing your computations. You may carry Carryover. Enter the amount of credit carryover to
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

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Form 44 — Instructions 2023 (continued)

Credit Allowed. Enter the credit allowed from Part II — Tax From Recapture of Income
Form 83, line 26. Include Form 83. Tax Credits
Line 1 Tax From Recapture of ITC
Carryover. Enter the amount of credit carryover to If you’ve claimed an ITC on property that no
future years from Form 83, line 29. longer qualifies before the end of the five-year
recapture period, you must compute the ITC
Line 7 Small Employer Real Property
Improvement Tax Credit recapture. This includes property moved outside
You can claim this credit if you’ve certified by of Idaho.
filing Form 89SE that you’ve met or will meet the Enter the amount from Form 49R, Part III, line 15.
tax incentive criteria for this credit, and you’ve Include Form 49R.
acquired real property improvements for use in
your business at the project site during the project Line 2 Tax From Recapture of Broadband
period. Equipment Investment Credit
If you’ve claimed a broadband equipment
Credit Allowed. Enter the credit allowed from investment credit on property that no longer
Form 84, line 24. Include Form 84. qualifies before the end of the five-year recapture
period, you must compute the broadband equipment
Carryover. Enter the amount of credit carryover investment credit recapture. This includes property
to future years from Form 84, line 27. that no longer qualifies for the ITC.
Line 8 Small Employer New Jobs Tax Credit Enter the amount from Form 68R, Part III, line 15.
You can claim this credit if you’ve certified by Include Form 68R.
filing Form 89SE that you’ve met or will meet the
tax incentive criteria for this credit, and you have Line 3 Tax From Recapture of Small Employer
qualified new employees at the project site during Investment Tax Credit
the project period. If you’ve claimed a small employer investment tax
credit on property that no longer qualifies before
Credit Allowed. Enter the credit allowed from the end of the five-year recapture period, you must
Form 85, line 33. Include Form 85. compute the small employer investment tax credit
recapture. This includes property moved outside
Carryover. Enter the amount of credit carryover of Idaho.
to future years from Form 85, line 36.
You also must compute recapture if you didn’t meet
Line 9 Employer Contributions to Employee’s the tax incentive criteria required to qualify for this
Idaho College Savings Account credit at the project site during the project period.
If you contributed to an employee’s Idaho college Enter the amount from Form 83R, Part III, line 15.
savings account, you may qualify for the credit for Include Form 83R.
employer contributions to an employee’s Idaho
college savings account. Line 4 Tax From Recapture of Small Employer
Real Property Improvement Tax Credit
Credit Allowed. Enter the credit allowed from If you’ve claimed a small employer real property
Form ID-529, line 17. Include Form ID-529. improvement tax credit on property that no longer
qualifies before the end of the five-year recapture
Carryover. Enter the amount of credit carryover
period, you must compute the small employer real
to future years from Form ID-529, Part III, line 3.
property improvement tax credit recapture.
You also must compute recapture if you didn’t meet
the tax incentive criteria required to qualify for this
credit at the project site during the project period.
Enter the amount from Form 84R, Part III, line 15.
Include Form 84R.

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                                                                Form 44 — Instructions     2023     (continued)         

Line 5 Tax From Recapture of Small Employer             Enter the year of the denied refund in the year row 
New Jobs Tax Credit                                     and the amount in the nonrefundable credit row. 
If you’ve claimed a small employer new jobs tax         Generally, you have 10 years from the original due 
credit and you didn’t maintain the required level of    date of the tax return to file a claim for credit.
new employees for the entire five-year recapture 
period, you must compute the small employer new         The credit allowed is limited to tax due on a timely 
jobs tax credit recapture.                              filed return or tax due plus penalty and interest on 
                                                        a late filed return.
You also must compute recapture if you didn’t meet 
the tax incentive criteria required to qualify for this Report the credit allowed on one of the following 
credit at the project site during the project period.   forms:
Enter the amount from Form 85R, line 13. Include        •  Form 40, line 53
Form 85R.                                               •  Form 43, line 73
                                                        •  Form 41, line 60
Part III — Nonrefundable Credit From a 
                                                        •  Form 41S, line 67
Prior Year Return
                                                        •  Form 65, line 63
If you were denied a refund from an overpayment 
                                                        •  Form 66, line 32
of tax on a prior year return because of the 
three-year statute of limitations, you may be           The remaining credit is the nonrefundable credit 
eligible to take a credit for that amount. Use this     amount minus the credit allowed. The remaining 
form to calculate the credit and include it with        credit may be used in subsequent years against 
your return.                                            tax due.
Claiming a credit on this form is treated as filing 
a claim for credit in lieu of filing an amended 
return. The credits claimed in this section can 
be reviewed as if they were being claimed on an 
amended return.

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                    In the Boise area: (208) 334-7660  |Toll free: (800) 972-7660
                           Hearing impaired (TDD) (800) 377-3529
                                       tax.idaho.gov/contact
EIN00097 09-05-2023                                                                                  Page 4 of 4

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