TaxAct® currently supports the following business credits forms:
Below is a brief description of each of these credits.
Form 3468, Investment Credit – a general business credit created to claim the investment credit, consisting of rehabilitation, energy, qualifying advanced coal project, qualifying gasification project, and qualifying advanced energy project credits.
Form 5884, Work Opportunity Credit – a general business credit created to credit wages paid to targeted group employees for the tax year. This credit is to encourage the hiring of those in targeted groups. Targeted group employees include long-term family assistance recipients, qualified veterans, qualified ex-felons, SSI recipients, as well as several others.
Form 6478, Biofuel Producer Credit – a general business credit created to calculate credit for cellulosic biofuel or second generation biofuel used as fuel or sold to another person.
Form 6765, Credit for Increasing Research Activities– a general business credit created to credit for expenses paid or incurred for qualified research. This credit is to encourage companies to research to discover information that is technological in nature, with an application that is for use in developing a new or improved business component.
Form 8586, Low-Income Housing Credit - a general business credit created to encourage the building of low-income structures. This credit is typically taken over a 10-year credit period.
Form 8826, Disabled Access Credit - a general business credit created to credit employers for expenses paid or incurred to comply with the applicable required under the Americans with Disabilities Act of 1990. Eligible expenses include amounts paid to remove barriers that prevent a business from being accessible, to provide qualified interpreters or other methods of making audio materials available for the hearing impaired, to provide qualified readers, taped texts, and other methods of making visual materials available to individuals with visual impairments, and to acquire or modify equipment for individuals with disabilities.
Form 8835, Renewable Electricity, Refined Coal, and Indian Coal Production Credit - a general business credit created to credit for the sale of electricity, refined coal or Indian coal produced in the US.
Form 8844, Empowerment Zone Employment Credit - a general business credit created to credit for wages paid to employees who lived in empowerment zones.
Form 8845, Indian Employment Credit - a general business credit created to credit for qualified wages paid to employees who are American Indians.
Form 8846, Credit for Employer Taxes Paid on Tips - a general business credit created to credit employers for paying taxes on certain tips. You can claim the credit if you had employees who received tips from customers relating to food or beverage consumption AND you paid or incurred social security and Medicare taxes on those tips.
Form 8881, Credit for Small Employer Pension Plan Startup Costs – a general business credit created to credit employers for qualified startup costs incurred in establishing or administering an eligible employer pension plan. Qualified startup costs are expenses paid or incurred in connection with establishing or administering an eligible employer plan; or the retirement-related education of employees about the plan.
Form 8941, Credit for Employer Health Insurance Premiums – a general business credit designed to encourage small employers to offer health insurance coverage for the first time or maintain coverage they already have. The credit is generally available to small employers that contribute an amount equivalent to at least half the cost of single coverage towards buying health insurance for their employees. The credit is specifically targeted to help small business and tax-exempt organizations that primarily employ moderate- and low-income workers. This credit is part of the Affordable Care Act.
To enter business credits:
All credits entered will be included on Form 3800, General Business Credits.
There are other business credits that TaxAct does not support the forms for at this time. You may still claim these credits on your return, but you will have to calculate the credit on the form and enter it on the applicable line in the program. Entering a credit that TaxAct does not support may disallow you from electronic filing.