State Tax Credit Investments
California Low Income Housing Tax Credit Summary
- Applicable against corporate franchise, individual income, and insurance company tax (other than tax on ocean marine insurers).
- Credit claimed over 4-year period (10-year for Federal).
- 30-year compliance period (instead of 15). Taxpayers have to comply with 30-year regulatory agreement.
- Carryover of excess credits and may be used beyond the credit’s repeal date until exhausted.
- Corporations eligible for credits may transfer credits to other affiliated corporations.
- Credit can be sold under certain conditions.
California Film Tax Credit Summary
- Income tax offset.
- Sunset date: June 30, 2025
- Credit must be utilized during year of transfer or within the 5-Year carryforward period of the transferor.
- No recapture for the transferee.
- Transferable tax credit (one-time)
- $5,000,000 usage limitation for transferees for tax years 2020, 2021, and 2022.