Form 49 is used to calculate the investment tax credit (ITC) earned or allowed. Each member of a unitary group of corporations that earns or is allowed the credit must complete a separate Form 49.
Property Used Both In and Outside Idaho If property is used both in and outside Idaho, compute the qualified investment for all such property using one of the following methods:
1. Percentage-of Use Method - Multiply the investment in each asset by a fraction where Idaho use is the numerator and total use is the denominator. Usage can be measured by machine hours, mileage or any other method that accurately reflects the usage. 2. Property Factor Numerator Method - Use the amount properly included in the Idaho property numerator for each property.
The amount computed in method #2 will generally be the same as that computed in method #1 unless your business uses the Multistate Tax Commission special industry regulations to compute its factors.
● For property acquired after 1989 but prior to tax years beginning in 2000, the credit carryover is limited to seven tax years unless the credit has not been carried over seven tax years before 2000. If the credit has been carried forward less than seven tax years, and is eligible for carryover to tax years beginning on or after 2000, the carryover period is limited to 14 tax years. ● For credit earned in tax years beginning on or after January 1, 2000, the credit carryover is limited to 14 tax years. For purposes of the carryover period, a short tax year counts as one tax year. Compute the ITC carryover on Form 49C.