Sec. 7. (a) If a pass through entity does not have state income tax liability against which the research expense tax credit may be applied, a shareholder, partner, or member of the pass through entity is entitled to a research expense tax credit equal to:
(1) the research expense tax credit determined for the pass through entity for the taxable year; multiplied by
(2) the percentage of the pass through entity's distributive income to which the shareholder, partner, or member is entitled.
(b) The credit provided under subsection (a) is in addition to a research expense tax credit to which a shareholder, partner, or member of a pass through entity is otherwise entitled under this chapter. However, a pass through entity and a shareholder, partner, or member of the pass through entity may not claim a credit under this chapter for the same qualified research expenses.
As added by P.L.57-1990, SEC.6. Amended by P.L.193-2005, SEC.15.
Structure Indiana Code
Article 3.1. State Tax Liability Credits
Chapter 4. Research Expense Credits
6-3.1-4-2. Amount of Credit; Computation
6-3.1-4-2.5. Amount of Credit; Alternative Computation
6-3.1-4-3. Unused Credits Carried Forward
6-3.1-4-4. Application of Internal Revenue Code Provisions
6-3.1-4-5. Qualified Research Expenses; Determination
6-3.1-4-6. Federal Credit Expiration Date Inapplicable
6-3.1-4-7. Pass Through Entity; Shareholder, Partner, or Member
6-3.1-4-8. Disclosure of Reasons for Not Claiming the Federal Credit