Maine Revised Statutes Title 36 Sec. 5219-L – Super credit for substantially increased research and development
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1. Super credit allowed for substantial expansions of research and development. For tax years beginning before January 1, 2014, a taxpayer that qualifies for the research expense tax credit allowed under section 5219?K is allowed an additional credit against the tax due under this Part equal to the excess, if any, of qualified research expenses for the taxable year over the super credit base amount. For purposes of this section, “super credit base amount” means the average amount spent on qualified research expenses by the taxpayer in the 3 taxable years immediately preceding the effective date of this section, increased by 50%. For purposes of this section, “qualified research expenses” has the same meaning as under the Code, Section 41 but applies only to expenditures for research conducted in this State.
[PL 2013, c. 502, Pt. J, §1 (AMD); PL 2013, c. 502, Pt. J, §3 (AFF).]
Terms Used In Maine Revised Statutes Title 36 Sec. 5219-L
- Code: means the United States Internal Revenue Code of 1986 and amendments to that Code as of December 31, 2022. See Maine Revised Statutes Title 36 Sec. 111
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- Corporation: means any business entity subject to income taxation as a corporation under the laws of the United States, except the following:
A. See Maine Revised Statutes Title 36 Sec. 5102Return: means any document, digital file or electronic data transmission containing information required by this Title to be reported to the State Tax Assessor. See Maine Revised Statutes Title 36 Sec. 111 Tax: means the total amount required to be paid, withheld and paid over or collected and paid over with respect to estimated or actual tax liability under this Title, any credit or reimbursement allowed or paid pursuant to this Title that is recoverable by the assessor and any amount assessed by the assessor pursuant to this Title, including any interest or penalties provided by law. See Maine Revised Statutes Title 36 Sec. 111 Taxpayer: means any person required to file a return under this Title or to pay, withhold and pay over or collect and pay over any tax imposed by this Title. See Maine Revised Statutes Title 36 Sec. 111 Year: means a calendar year, unless otherwise expressed. See Maine Revised Statutes Title 1 Sec. 72
2. Amount of super credit allowed. The credit allowed under this section is limited to 50% of the taxpayer’s tax due after the allowance of any other credits taken pursuant to this chapter.
[PL 1997, c. 557, Pt. B, §10 (NEW); PL 1997, c. 557, Pt. B, §14 (AFF); PL 1997, c. 557, Pt. G, §1 (AFF).]
3. Carry over to succeeding years. A taxpayer entitled to a credit under this section for any taxable year may carry over and apply to the tax due for any one or more of the next succeeding 10 taxable years the portion, as reduced from year to year, of any unused credit, but in no event may the credit applied in any single year exceed 25% of the taxpayer’s tax due after the allowance of any other credits taken pursuant to this chapter.
[PL 2013, c. 502, Pt. J, §2 (AMD); PL 2013, c. 502, Pt. J, §3 (AFF).]
4. Limitation. The credit provided by this section may not be used to reduce the taxpayer’s tax liability under this Part to less than the amount of the taxpayer’s tax due in the preceding taxable year after the allowance of any credits taken pursuant to this chapter.
[PL 1997, c. 557, Pt. B, §10 (NEW); PL 1997, c. 557, Pt. B, §14 (AFF); PL 1997, c. 557, Pt. G, §1 (AFF).]
5. Corporations filing combined returns. In the case of corporations filing a combined return, a credit generated by an individual member corporation under the provisions of this section must first be applied against the tax due attributable to that company under this Part. A member corporation with an excess research and development credit may apply its excess credit against the tax due of another group member to the extent that that other member corporation can use additional credits under the limitations of subsection 4. Unused, unexpired credits generated by a member corporation may be carried over from year to year by the individual corporation that generated the credit, subject to the limitation in subsection 3.
[PL 1997, c. 557, Pt. B, §10 (NEW); PL 1997, c. 557, Pt. B, §14 (AFF); PL 1997, c. 557, Pt. G, §1 (AFF).]
SECTION HISTORY
PL 1997, c. 557, §B10 (NEW). PL 1997, c. 557, §§B14,G1 (AFF). PL 2007, c. 627, §93 (AMD). PL 2013, c. 502, Pt. J, §§1, 2 (AMD). PL 2013, c. 502, Pt. J, §3 (AFF).