§ 42-64.3-6 Business tax credits. –A qualified business in an enterprise zone is allowed a credit against the taximposed pursuant to chapters 11, 13 (except the taxation of tangible personalproperty under § 44-13-13), 14, 17, and 30 of title 44:
(1) A credit equal to fifty percent (50%) of the total amountof wages paid to those enterprise job employees comprising the five percent(5%) new jobs referenced in § 42-64.3-3(4)(i)(A). The wages subject to thecredit shall be reduced by any direct state or federal wage assistance paid toemployers for the employee(s) in the taxable year. The maximum credit allowedper taxable year under the provisions of this subsection shall be two thousandfive hundred dollars ($2,500), per employee. A taxpayer who takes this businesstax credit shall not be eligible for the resident business owner modificationpursuant to § 42-64.3-7.
(2) A credit equal to seventy five percent (75%) of the totalamount of wages paid to those enterprise job employees who are domiciliaries ofan enterprise zone comprising the five percent (5%) new jobs referenced in§ 42-64.3-3(4)(i)(A). The wages subject to the credit shall be reduced byany direct state or federal wage assistance in the taxable year. The maximumcredit allowed per taxable year under the provisions of this subdivision shallbe five thousand dollars ($5,000) per employee. A taxpayer who takes thisbusiness tax credit is not eligible for the resident business ownermodification. The council shall promulgate appropriate rules to certify thatthe enterprise job employees are domiciliaries of an enterprise zone and shalladvise the qualified business and the tax administrator. A taxpayer taking acredit for employees pursuant to this subdivision (2) shall not be entitled toa credit pursuant to subdivision (1) of this section for the employees.
(3) Any tax credit as provided in subdivision (1) or (2) ofthis section shall not reduce the tax below the minimum tax. Fiscal yeartaxpayers must claim the tax credit in the year into which the December 31st ofthe certification year falls. The credit shall be used to offset tax liabilitypursuant to the provisions of either chapters 11, 13, 14, 17, or 30 of title44, but not more than one chapter.
(4) In the case of a corporation, the credit allowed underthis section is only allowed against the tax of that corporation included in aconsolidated return that qualifies for the credit and not against the tax ofother corporations that may join in the filing of a consolidated tax return.
(5) In the case of multiple business owners, the creditprovided in subdivision (1) or (2) of this section is apportioned according tothe ownership interests of the qualified business.
(6) The tax credits established pursuant to this section maybe carried forward for a period of three (3) years if in each of the three (3)calendar years a business which has qualified for tax credits under thissection: (a) does not reduce the number of its employees from the lastEffective Date of Certification; (b) obtains certificates of good standing fromthe Rhode Island division of taxation, the corporations division of the RhodeIsland secretary of state and the appropriate municipal tax collector; (c)provides the council an affidavit stating under oath that this business has notwithin the preceding twelve (12) months changed its legal status for thepurpose of gaining favorable treatment under the provisions of chapter 64.3 ofthis title; and (d) meets any other requirements as may be established by thecouncil in its rules and regulations.
§ 42-64.3-6 Business tax credits. –A qualified business in an enterprise zone is allowed a credit against the taximposed pursuant to chapters 11, 13 (except the taxation of tangible personalproperty under § 44-13-13), 14, 17, and 30 of title 44:
(1) A credit equal to fifty percent (50%) of the total amountof wages paid to those enterprise job employees comprising the five percent(5%) new jobs referenced in § 42-64.3-3(4)(i)(A). The wages subject to thecredit shall be reduced by any direct state or federal wage assistance paid toemployers for the employee(s) in the taxable year. The maximum credit allowedper taxable year under the provisions of this subsection shall be two thousandfive hundred dollars ($2,500), per employee. A taxpayer who takes this businesstax credit shall not be eligible for the resident business owner modificationpursuant to § 42-64.3-7.
(2) A credit equal to seventy five percent (75%) of the totalamount of wages paid to those enterprise job employees who are domiciliaries ofan enterprise zone comprising the five percent (5%) new jobs referenced in§ 42-64.3-3(4)(i)(A). The wages subject to the credit shall be reduced byany direct state or federal wage assistance in the taxable year. The maximumcredit allowed per taxable year under the provisions of this subdivision shallbe five thousand dollars ($5,000) per employee. A taxpayer who takes thisbusiness tax credit is not eligible for the resident business ownermodification. The council shall promulgate appropriate rules to certify thatthe enterprise job employees are domiciliaries of an enterprise zone and shalladvise the qualified business and the tax administrator. A taxpayer taking acredit for employees pursuant to this subdivision (2) shall not be entitled toa credit pursuant to subdivision (1) of this section for the employees.
(3) Any tax credit as provided in subdivision (1) or (2) ofthis section shall not reduce the tax below the minimum tax. Fiscal yeartaxpayers must claim the tax credit in the year into which the December 31st ofthe certification year falls. The credit shall be used to offset tax liabilitypursuant to the provisions of either chapters 11, 13, 14, 17, or 30 of title44, but not more than one chapter.
(4) In the case of a corporation, the credit allowed underthis section is only allowed against the tax of that corporation included in aconsolidated return that qualifies for the credit and not against the tax ofother corporations that may join in the filing of a consolidated tax return.
(5) In the case of multiple business owners, the creditprovided in subdivision (1) or (2) of this section is apportioned according tothe ownership interests of the qualified business.
(6) The tax credits established pursuant to this section maybe carried forward for a period of three (3) years if in each of the three (3)calendar years a business which has qualified for tax credits under thissection: (a) does not reduce the number of its employees from the lastEffective Date of Certification; (b) obtains certificates of good standing fromthe Rhode Island division of taxation, the corporations division of the RhodeIsland secretary of state and the appropriate municipal tax collector; (c)provides the council an affidavit stating under oath that this business has notwithin the preceding twelve (12) months changed its legal status for thepurpose of gaining favorable treatment under the provisions of chapter 64.3 ofthis title; and (d) meets any other requirements as may be established by thecouncil in its rules and regulations.
§ 42-64.3-6 Business tax credits. –A qualified business in an enterprise zone is allowed a credit against the taximposed pursuant to chapters 11, 13 (except the taxation of tangible personalproperty under § 44-13-13), 14, 17, and 30 of title 44:
(1) A credit equal to fifty percent (50%) of the total amountof wages paid to those enterprise job employees comprising the five percent(5%) new jobs referenced in § 42-64.3-3(4)(i)(A). The wages subject to thecredit shall be reduced by any direct state or federal wage assistance paid toemployers for the employee(s) in the taxable year. The maximum credit allowedper taxable year under the provisions of this subsection shall be two thousandfive hundred dollars ($2,500), per employee. A taxpayer who takes this businesstax credit shall not be eligible for the resident business owner modificationpursuant to § 42-64.3-7.
(2) A credit equal to seventy five percent (75%) of the totalamount of wages paid to those enterprise job employees who are domiciliaries ofan enterprise zone comprising the five percent (5%) new jobs referenced in§ 42-64.3-3(4)(i)(A). The wages subject to the credit shall be reduced byany direct state or federal wage assistance in the taxable year. The maximumcredit allowed per taxable year under the provisions of this subdivision shallbe five thousand dollars ($5,000) per employee. A taxpayer who takes thisbusiness tax credit is not eligible for the resident business ownermodification. The council shall promulgate appropriate rules to certify thatthe enterprise job employees are domiciliaries of an enterprise zone and shalladvise the qualified business and the tax administrator. A taxpayer taking acredit for employees pursuant to this subdivision (2) shall not be entitled toa credit pursuant to subdivision (1) of this section for the employees.
(3) Any tax credit as provided in subdivision (1) or (2) ofthis section shall not reduce the tax below the minimum tax. Fiscal yeartaxpayers must claim the tax credit in the year into which the December 31st ofthe certification year falls. The credit shall be used to offset tax liabilitypursuant to the provisions of either chapters 11, 13, 14, 17, or 30 of title44, but not more than one chapter.
(4) In the case of a corporation, the credit allowed underthis section is only allowed against the tax of that corporation included in aconsolidated return that qualifies for the credit and not against the tax ofother corporations that may join in the filing of a consolidated tax return.
(5) In the case of multiple business owners, the creditprovided in subdivision (1) or (2) of this section is apportioned according tothe ownership interests of the qualified business.
(6) The tax credits established pursuant to this section maybe carried forward for a period of three (3) years if in each of the three (3)calendar years a business which has qualified for tax credits under thissection: (a) does not reduce the number of its employees from the lastEffective Date of Certification; (b) obtains certificates of good standing fromthe Rhode Island division of taxation, the corporations division of the RhodeIsland secretary of state and the appropriate municipal tax collector; (c)provides the council an affidavit stating under oath that this business has notwithin the preceding twelve (12) months changed its legal status for thepurpose of gaining favorable treatment under the provisions of chapter 64.3 ofthis title; and (d) meets any other requirements as may be established by thecouncil in its rules and regulations.
