§ 105-129.17. Tax election; cap. - North Carolina Statutes

§ 105‑129.17.  Taxelection; cap.

(a)        Tax Election. – Thecredit allowed in G.S. 105‑129.16A is allowed against the franchise taxlevied in Article 3 of this Chapter, the income taxes levied in Article 4 ofthis Chapter, or the gross premiums tax levied in Article 8B of this Chapter.All other credits allowed in this Article are allowed against the franchise taxlevied in Article 3 of this Chapter or the income taxes levied in Article 4 ofthis Chapter. The taxpayer must elect the tax against which a credit will beclaimed when filing the return on which the first installment of the credit isclaimed. This election is binding. Any carryforwards of a credit must beclaimed against the same tax.

(b)        Cap. – The creditsallowed in this Article may not exceed fifty percent (50%) of the tax againstwhich they are claimed for the taxable year, reduced by the sum of all othercredits allowed against that tax, except tax payments made by or on behalf ofthe taxpayer. This limitation applies to the cumulative amount of credit,including carryforwards, claimed by the taxpayer under this Article againsteach tax for the taxable year. Any unused portion of the credits may be carriedforward for the succeeding five years.  (1996, 2nd Ex. Sess., c. 13, s. 3.12; 1997‑277,s. 3; 1999‑342, s. 2; 1999‑360, ss. 1, 13; 2000‑140, ss.63(a), 88; 2001‑431, s. 3; 2002‑87, s. 5; 2009‑548, s. 3.)