The standard job tax credit must be claimed on the return for the tax year in which the qualified business enterprise first satisfies the capital investment and job creation requirements. Any unused credit earned in tax years ending on or after December 31, 2008, may be carried forward for no more than 25 years.
The additional annual job tax credit may be claimed when all the requirement for the credit have been met or may be deferred; provided, however that the qualified business enterprise must begin to apply the credit no later than the first tax year following the end of the investment period. The additional annual job tax credit carryforward provisions were not impacted by the Tennessee Works Tax Act.
Note: This article was updated on May 16, 2023, as a result of a law change. The previous version of F&E Credit - 8 is available here.
Reference: Tenn. Code Ann. §§ 67-4-2109(b)(1)(C); 67-4-2109(b)(2)(D).