112 Corp Book 2006
1.Firstfilloutyourfederalincometaxreturn--U.S.Form1120,or1120A.Youwillneed
informationfromyourfederalreturntocompleteyourColoradoreturn.
2.Ifyouowethestate,makeyourcheckormoneyorderpayabletotheColoradoDepartment
ofRevenue.Pleaseprintthecorporation'sColoradoaccountnumberand"Form112"on
thecheckormoneyorder.
3.MailthereturntotheColoradoDepartmentofRevenue,Denver,Colorado80261-0006.
Returnsareduethreeandone-halfmonthsafterthecloseofthetaxableyear.
CONTENTS:
ColoradoCcorporationincometaxreturn,Form112
Corporationcreditschedule,Form112CR
Paymentvoucherforextensionoftimeforfiling,Form158C
C COrpOraTiON
2008 iNCOME TaX
FOrMS aND iNSTrUCTiONS
(10/03/08)
Modernized e-File (MeF) Corporation Electronic Filing
Both Federal and Colorado returns
For information and availability, see
www.revenue.state.co.us/corporationefile
Colorado Online Tax Payments
For information and availability, see
www.colorado.gov/paytax
Upcoming Change:FortaxyearsbeginningonorafterJanuary 1, 2009,Coloradowill
requiresinglesalesfactorapportionmentforallcorporations.All2008returns(duein2009)
shouldbefiledusingthetwo-factororthree-factormethod.Additionalinformationcanbe
foundonlineatwww.TaxColorado.com
Coloradoincometaxreturnsareduetobefiledthreeandone-halfmonthsafterthecloseofthetaxyear.
Anautomaticsix-monthextensionoftimeforfilingtheColoradocorporationincometaxreturnisallowedforall
taxpayers.However,anextensionoftimetofileisnotanextensionoftimetopaythetax.Ifatleast90percent
ofthenettaxliabilityisnotpaidbytheoriginalduedateofthereturn,penaltyandinterestwillbeassessed.If
90percentormoreofthenettaxliabilityispaidbytheoriginalduedateofthereturnandthebalanceispaid
whenthereturnisfiledbythelastdayoftheextensionperiod,onlyinterestwillbeassessed.
Ifaftertheoriginalduedateofthereturnitisfoundthattheamountpaidisinsufficienttomeetthe90percent
requirement,additionalpaymentshouldbemadeassoonaspossibletoreducefurtheraccumulationofpenalty
andinterest.MakesuchpaymentwithForm158C.
AfederalextensionoftimeforfilingwillnotbeacceptedforColoradopurposes.
Checkonlineatwww.colorado.gov/paytax toseeifyourextensionpaymentcanbemadeelectronically.
SubmitForm158Cwithpaymentto:
ColoradoDepartmentofRevenue,
Denver,Colorado80261-0008.
DO NOT SUbMiT FOrM 158C wiThOUT a payMENT.
EXTENSiON OF TiME FOr FiliNg a COlOraDO
C COrpOraTiON iNCOME TaX rETUrN
DETACH FORM
ON THIS LINE
rETUrN ONly ThE lOwEr pOrTiON OF ThiS pagE wiTh yOUr payMENT
(29)
2008
FOrM 158C
COlOraDO DEparTMENT OF rEVENUE
www.TaxColorado.com
payment Voucher for Extension of
Time for Filing a Colorado C Corporation
income Tax return
Vendor iD
70
ReturnthisvoucherwithcheckormoneyorderpayabletotheColoradoDepartmentofRevenue,Denver,Colorado80261-0008.WriteyourColorado
AccountNumberand"2008Form158C"onyourcheckormoneyorder.Donotsendcash.Enclose,butdonotstapleorattach,yourpaymentwith
thisvoucher.Fileonlyifyouaremakingapayment.
CorporationName
ColoradoAccountNumber
Address
FederalEmployerIdentificationNumber
City
State
ZIP
iF NO payMENT iS DUE, DO NOT FilE ThiS FOrM.
The State may convert your check to a one time electronic banking transaction. Your bank account may be debited as early as the same day
receivedbytheState.Ifconverted,yourcheckwillnotbereturned.Ifyourcheckisrejectedduetoinsufficientoruncollectedfunds,theDepartment
ofRevenuemaycollectthepaymentamountdirectlyfromyourbankaccountelectronically.
aMOUNT OF payMENT
$
.
00
DO NOT wriTE iN SpaCE bElOw
(08)
For the calendar year 2008 or the fiscal year: Start Date:
__________________,2008,
End Date: _________________ .
Page3
DETACH FORM
ON THIS LINE
rETUrN ONly ThE lOwEr pOrTiON OF ThiS pagE wiTh yOUr payMENT
(21)
2008
FOrM 900C
COlOraDO DEparTMENT OF rEVENUE
www.TaxColorado.com
2008 C Corporation
income Tax payment Voucher
Vendor iD
70
For the calendar year 2008 or the fiscal year: Start Date:
__________________,2008,
End Date: ________________ .
ReturnthisvoucherwithcheckormoneyorderpayabletotheColoradoDepartmentofRevenue,Denver,Colorado80261-0008.WriteyourColorado
AccountNumberand"2008Form112"onyourcheckormoneyorder.Donotsendcash.Enclose,butdonotstapleorattach,yourpaymentwiththis
voucher.Fileonlyifyouaremakingapayment.
CorporationName
ColoradoAccountNumber
Address
FederalEmployerIdentificationNumber
City
State
ZIP
iF NO payMENT iS DUE, DO NOT FilE ThiS FOrM.
The State may convert your check to a one time electronic banking transaction. Your bank account may be debited as early as the same day
receivedbytheState.Ifconverted,yourcheckwillnotbereturned.Ifyourcheckisrejectedduetoinsufficientoruncollectedfunds,theDepartment
ofRevenuemaycollectthepaymentamountdirectlyfromyourbankaccountelectronically.
aMOUNT OF payMENT
$
.
00
DO NOT wriTE iN SpaCE bElOw
(08)
DO NOT send another copy of your tax return with your
payment because the Form 0900C contains all the information
required to match your payment with your return.
DETACH FORM
ON THIS LINE
rETUrN ONly ThE lOwEr pOrTiON OF ThiS pagE wiTh yOUr payMENT
(29)
2008
FOrM 158C
COlOraDO DEparTMENT OF rEVENUE
www.TaxColorado.com
payment Voucher for Extension of
Time for Filing a Colorado C Corporation
income Tax return
Vendor iD
70
ReturnthisvoucherwithcheckormoneyorderpayabletotheColoradoDepartmentofRevenue,Denver,Colorado80261-0008.WriteyourColorado
AccountNumberand"2008Form158C"onyourcheckormoneyorder.Donotsendcash.Enclose,butdonotstapleorattach,yourpaymentwith
thisvoucher.Fileonlyifyouaremakingapayment.
CorporationName
ColoradoAccountNumber
Address
FederalEmployerIdentificationNumber
City
State
ZIP
iF NO payMENT iS DUE, DO NOT FilE ThiS FOrM.
The State may convert your check to a one time electronic banking transaction. Your bank account may be debited as early as the same day
receivedbytheState.Ifconverted,yourcheckwillnotbereturned.Ifyourcheckisrejectedduetoinsufficientoruncollectedfunds,theDepartment
ofRevenuemaycollectthepaymentamountdirectlyfromyourbankaccountelectronically.
aMOUNT OF payMENT
$
.
00
DO NOT wriTE iN SpaCE bElOw
(08)
FoRM0900C(10/02/08)
COlOraDO DEparTMENT OF rEVENUE
DENvERCo80261-0008
www.TaxColorado.com
See instructions below
print the completed form and submit with your payment.
2008 C COrpOraTiON iNCOME TaX payMENT VOUChEr
Use Form 0900C below to submit your payment if you:
· fileusinganyelectronicfilingmethod,
· fileareturncontainingabarcode,
· orare,forsomeotherreason,sendingyourpayment
separate from your return.
Online tax payment by electronic check or
creditcardiscoming!Tofindoutifit's
available,visitwww.colorado.gov/paytax
Thisonlineserviceincludesanadministrative
feethatallowsColorado.govtodeliverthis
andotherimportantservices.Thisfeeispaidtoathirdparty
thatprovidestheseservicesforColorado.govatlittleornocost
to the taxpayers of Colorado.
Forcreditcardtransactions,theadministrativeprocessingfee
is the amount due multiplied by 2.25% plus an additional $.75.
However,ifyouchoosetopaywithcashintheformofan
echeck,theadministrativeprocessingfeeisdiscountedto$1.00
per transaction.
Page4
Filing requirements:
EverycorporationdoingbusinessinColoradoorderiving
income from Colorado sources must file a corporation
incometaxreturnwithColorado.Anycorporationthatis
exemptfromfederalincometaxisexemptfromColorado
incometaxandfromfilingaColoradoincometaxreturn
exceptthatitshallnotbesoexemptifitmustfileafederal
return of unrelated business income. Any insurance
companysubjecttothetaximposedongrosspremiums
by§10-3-209,C.R.S.isexemptfromtheColoradoincome
taxandfromfilingColoradoincometaxreturns.
Time and place for Filing:
Returnsaredueonthe15thdayofthefourthmonthfollowing
thecloseofthetaxableyear.Acorporationisgrantedan
automaticsixmonthextensionoftimeforfiling.SeeForm
158Cformoreinformationonanextension.
Mail your return to: Colorado Department of Revenue,
Denver,Colorado80261-0006.
Declaration of Estimated Tax:
EveryCcorporationsubjecttotheColoradoincometax
mustfileadeclarationofestimatedincometax,Form112
EP, if its tax liability is expected to exceed $5,000 plus
estimatedcredits.
additional information available:
The Colorado Tax Information Index, which provides
easy access to forms, FYIs, statutes, regulations and
other information organized by subject, is available at
www.TaxColorado.comoryoucancallforinformationat
(303)238-SERv(7378).
accounting period and Method:
The corporation's accounting period and method for
Coloradoincometaxpurposesmustbethesameasfor
federalincometaxpurposes.
Colorado account Number:
TheColoradoaccountnumberisa7-digitnumberthatmust
beincludedinadditiontothefederalemployeridentification
number.TheColoradoincometaxaccountnumberisthe
sameasthecorporation'ssalestaxorwagewithholding
accountnumber.
Section a: apportionment Of income:
Acorporationdoingbusinessinmorethanonestatemust
apportion its taxable income to any states in which the
corporation is doing business. This ensures tax is paid
tothestateinwhichtheincomeisearnedandtaxable.
59.
Incomeisgenerallyapportionedinoneoftwoways:
· Colorado Income Tax Act - Two factor
method
· Multistate Tax Compact - Three factor
method
Not apportioning incomeACcorporationdoingbusiness
onlyinColoradowillcomputeitstaxon100percentofthe
Coloradotaxableincome.
Colorado income Tax actApportionedincomeunder
theColoradoIncomeTaxActiscomputedusingtwofactors;
the revenue factor and the property factor. All income is
apportionedusingthesetwofactorsandnoincomeisdirectly
allocatedtoitssourcestate.CompleteandattachSchedule
A to your return if you use this two factor apportionment
method.
Multistate Tax CompactApportionedincomeunderthe
Multistate Tax Compact is computed using three factors;
thepropertyfactor,thepayrollfactorandthesalesfactor.
Every corporation, other than public utilities, can elect to
apportion income using this method. Business income is
apportioned using the three factors. Nonbusiness income
isdirectlyallocatedtotheappropriatestate.Completeand
attachScheduleBtoyourreturnifyouusethisthreefactor
apportionmentmethod.
gross receipts Tax A C corporation that performs no
Coloradoactivitiesotherthanmakingsales,doesnotown
orrentrealestateinColorado,andgeneratesannualgross
salesinColoradoof$100,000orlessmayelecttopayatax
ofone-halfpercentoftheannualgrossreceiptsderivedfrom
thesalesinColoradoinlieuofpayingthenormalincometax.
Enterannualgrossreceiptsonline16,andthe.5%taxon
line17.Enter"grossreceiptstax"onthedottedlineonlines
16and17.
58.
Other apportionment Methods If the apportionment
provisionsdonotfairlymeasuretheColoradosourceincome,
thecorporationmayrequest,ortheDepartmentmayrequire,
analternativemethodtobeused.
Section b: Separate, Consolidated Or Combined Filing:
TherearefourpossiblefilingalternativesforCcorporations.
Thealternativesareseparate,consolidated,combined,and
combined/consolidatedfiling.
60.
Separate FilingAsinglecorporation,evenifitisamember
ofanaffiliatedgroup,mayelecttofileaseparatereturn.A
singlecorporationmaynotfileaseparatereturnifitelectsto
bepartofaconsolidatedreturn,orisrequiredtobeincluded
inacombinedfiling.
Consolidated Filing Members of an affiliated group of
corporations,asdefinedin§1504oftheInternalRevenue
Code,mayelecttofileaconsolidatedColoradoincometax
return.However,onlymembersoftheconsolidatedgroup
thataredoingbusinessinColoradocanbeincludedinthe
Coloradoconsolidatedfiling.
Anelectiontofileaconsolidatedreturnisbindingforfour
years and requires the consent of the members of the
affiliatedgroupthatweredoingbusinessinColorado.The
makingofaconsolidatedreturnshallbeconsideredsuch
consent.
Example: P Company, a parent corporation filing a
federalconsolidatedreturn,hasfoursubsidiaries,A,
B,C,andD.Theparentandthefirstthreesubsidiaries
iNSTrUCTiONS FOr 2008 COlOraDO
C COrpOraTiON iNCOME TaX rETUrN, FOrM 112
(S COrpOraTiONS FilE FOrM 106)
Page5
alldobusinessinColorado.Ddoesbusinessonlyin
Nebraska.PCompanyanditssubsidiaries,A,Band
C,mayelecttofileaconsolidatedColoradoincometax
return.Dmaynotbepartoftheconsolidatedreturn.
Combined Filing--Anaffiliatedgroupofcorporations,as
defined in §39-22-303 of the Colorado Revised Statutes
thatmeetsthreeormorepartsofthesix-partintercompany
business relationship test for the current year and the
precedingtwoyears,mustfileacombinedreport.
Combined/Consolidated Filing If an affiliated group
filingacombinedreporthasamemberwhofilesafederal
consolidatedreturnwithanothercorporation,andthatother
corporationisdoingbusinessinColoradobutisnoteligible
tobeincludedinthecombinedreport,theaffiliatedmembers
canelecttofileacombined/consolidatedfiling.
Example:PCompany,aparentcorporationfilingafederal
consolidatedreturn,hasfoursubsidiaries,A,B,C,and
D.Pandthefirstthreesubsidiariesalldobusinessin
Colorado.AwasacquiredonJanuary1,2008andDdoes
businessonlyinNebraska.PCompanymeetsthesix-part
testforfilingacombinedreportwithB,C,andD.Thus,
P,B,C,andDmustfileacombinedreport.A,however,
doesnotqualifyforthecombinedreportbecauseithas
notbeenownedfortherequisitetwoyears.PCompany
mayelecttofileaconsolidatedreturnwithA.Thus,P
willbefilingacombined/consolidatedreturn:combined
withB,C,andD,andconsolidatedwithA.
Federal Taxable income:
liNE 1: Enterthefederaltaxableincome(orloss)from
federalForm1120.
liNE 2: Enterthefederaltaxableincome,totheextent
included in line 1, of corporations that are not
included in this consolidated and/or combined
return.
liNE 3: Reflectsthefederaltaxableincomeofthefederal
pro-formareturnforthecompaniesincludedin
theColoradoreturn.
additions:
liNE 4: Enteranyfederalnetoperatinglossdeduction
claimed in the computation of the federal
taxableincome.
19.
liNE 5: Enter any Colorado income tax claimed as a
deductioninthecomputationofthefederaltaxable
income.
liNE 6: Enterallotheradditions:
58.
· All interest income (less bond premium
amortization) of the corporation from state
ormunicipalobligationsthatisnotincluded
in federal taxable income. Do not include
interest income from any bond or other
obligation of the State of Colorado or a
political subdivision thereof issued on or
afterMay1,1980.Theinteresttobeentered
shall be net of any expense required to be
allocated thereto by the Internal Revenue
Code for federal income tax purposes.
52.
· Anyincome,warprofits,orexcessprofitstaxes
paidoraccruedtoanyforeigncountryorto
anypossessionoftheUnitedStatesthatwere
claimedasadeductiononthefederalreturn.
58.
· Any charitable contribution deduction
claimed in 2008 for the donation of a
conservation easement that qualified for
the gross conservation easement credit.
39.
Subtractions:
liNE 8: Enter,totheextentincludedinfederaltaxable
income, any United States government bond
interest and any interest or dividend income
on obligations or securities of any authority,
commission, or instrumentality of the United
States to the extent such interest or dividend
income is exempt from state taxation by
federallaw.
20.
liNE 9: Enter,totheextentincludedinfederaltaxable
income, that part of foreign income that
qualifiesasexcludableforeignsourceincome.
Excludable foreign source income means
taxableincomefromsourceswithouttheUnited
States as used in section 862 of the Internal
RevenueCodeasdeterminedbelow:
· If for federal income tax purposes the
corporationhaselectedtoclaimforeigntaxes
paidoraccruedasadeduction,excludable
foreign source income shall be an amount
equaltosuchdeduction.
· If for federal income tax purposes the
corporationhaselectedtoclaimforeigntax
paidoraccruedasacredit,excludableforeign
sourceincomeshallbeanamountequalto
foreignsourceincome(excludingsection78
dividendgrossup)multipliedbyafraction,the
numeratorofwhichisthefederalforeigntax
credit, and the denominator of which is the
foreignsourceincome(includingsection78
dividendgrossup)timestheeffectivefederal
corporationincometaxrate(federalcorporate
income tax divided by federal corporate
taxable income). Excludable foreign source
incomemaynotexceedtotalforeignsource
incomeexcludingsection78dividendgross
up. Foreign source income from a foreign
corporation within an affiliated group of
corporations shall be determined without
regard to section 882(a)(2) of the Internal
RevenueCode.
Excludableforeignsourceincomeshallalsobe
omitted in determining the Colorado revenue
factor(ScheduleA)ortheColoradosalesfactor
(ScheduleB).
58.
liNE 10: Enter,totheextentincludedinfederaltaxable
income,theamountofcapitalgainincomeearned
from:
· Thesaleofrealortangiblepersonalproperty
locatedinColorado,or
· Thesaleofstockoranownershipinterest
inaColoradocompanythathas50percent
or more of its property and payroll within
Colorado,
Page6
thatwasacquiredonorafterMay9,1994andheld
continuouslyforatleastfiveyearspriortothedate
ofthetransactionfromwhichthecapitalgainsarise.
YoumustattachFormDR1316tothereturnto
explainhowtheseassetsqualifyforthesubtraction.
15.
liNE 11: Enterallothersubtractions.
58.
· To the extent included in federal taxable
income,anyrefundofColoradoincometax.
· Any amount included in federal taxable
incomebyreasonofthegross-upprovisionsof
section78oftheInternalRevenueCode.
· Theamountofanysalaryorwageexpense
not allowed as a deduction on the federal
incometaxreturnduetotheprovisionsofthe
Indian employment credit, work opportunity
credit, empowerment zone employment
credit,orphandrugcredit,creditforincreasing
researchactivities,employeeretentioncredit,
welfare-to-work credit or mine rescue team
trainingcredit.
Taxable income:
liNE 13: Enter the net amount of line 7 minus line 12.
This is the modified federal taxable income
that will be the Colorado taxable income to
be entered on line 14 for those corporations
not permitted to apportion income away from
Colorado. For those corporations that do
apportionincome,entertheamountfromline13on
line1ofScheduleAoronline6ofScheduleB.
liNE 15: Enter the Colorado net operating loss
deduction. The Colorado net operating loss
deduction is computed in the same manner
as is the federal net operating loss deduction
except that in the case of a corporation
apportioning income, it is that part of the
federal net operating loss, as modified, that is
from Colorado sources. Colorado operating
lossesmaybecarriedforward20yearsfortax
yearsbeginningonorafterAugust6,1997.They
may not be carried back. Federal limitations
oncarryoverlossesbetweenpredecessorand
successorcorporationsapplyforColoradoincome
taxpurposes.
19.
Tax
liNE 17: TheColoradotaxrateiscurrently4.63%.This
representsareductionintheratefromthe1999
rateof4.75%andthe1998rateof5%.
Credits
liNES 18 26:EnterthecreditsfromForm112CR.
liNE 29: If the corporation is required to recapture
federal investment credit with respect to
Colorado assets, a recapture of the "old"
Colorado investment credit may be required.
Include any investment credit recapture,
historic property preservation credit recapture,
lowincomehousingcreditrecaptureoranyother
creditrecaptureonthisline.Attachaschedule
to the return detailing the computation of the
recaptureamount.
liNE 31: Enterallprepaymentcredits.
· Anyestimatedtaxpaymentsmadefor2008,
· Thatpartofthe2007overpayment,ifany,that
wasappliedto2008,
· Anyamountpaidwitha2008extensionoftime
forfilingvoucher,
· Any Colorado tax withheld on the sale of
Coloradorealestateduringthetaxyearon
Form1079.
penalties and interest
liNE 32: Thedelinquentfilingorpaymentpenaltyis5%
ofthebalanceoftaxdueforthefirstmonthor
fractionthereofplusanadditional1/2%foreach
additionalmonthorfractionthereof,notexceeding
12%intheaggregate.Theminimumpenaltyis
$5.00.
liNE 33: Interestaccruesonanybalanceoftaxdueduring
2009atarateof5%perannumexceptthatwith
respect to any assessment not paid within 30
daysofdateofbilling,interestwillbedueatan
8%annualrate.
liNE 34: If the corporation is assessing itself an
estimatedtaxpenaltyattachacopyofForm205
tothereturn.
Includepenaltyandinterestamountsfromlines
32-34intheamountowedonline35.
refund
liNE 37: Entertheamountofanyoverpaymentyouwishto
havecreditedtothecorporation's2008estimated
taxes.
liNE 38: Entertheamountofanyoverpaymentyouwish
tohaverefunded.
Sections C-g: Corporate information
Enter the requested corporate information on lines C
throughG.
Signatures
Thelawrequiresthereturntobesignedunderthepenalties
of perjury by the president, vice-president, treasurer,
assistanttreasurer,chiefaccountingofficer,orotherofficer
dulyauthorizedtoact.Incaseswherereceivers,trustees
in bankruptcy, or assignees are operating the property
or business of corporations, such receivers, trustees, or
assigneesshallmakereturnsforsuchcorporationsinthe
same manner and form as corporations are required to
makereturns.
Changes in Federal income
Anyadjustmentmadebyfederalamendedreturnsmustbe
reportedandtheColoradoincometaxadjustedaccordingly
onForm112X,theamendedcorporationincometaxreturn.
Likewise,anyadjustmentsmadebytheInternalRevenue
ServicemustbereportedtoColoradoonForm112X.Ifthe
corporationoperatesintwoormorestates,tosimplifythe
amendedreturnfilingrequirement,thecorporationcanmail
therevenueagent'sreportseparately(mustnotbeattachedto
thereturn)totheColoradoDepartmentofRevenue,Denver,
Colorado80261-0005.IncludetheColoradoaccountnumber
onthereport.
Thestatuteoflimitationswillnotapplyifthetaxpayerfailsto
discloseanyadjustmentsmadeonfederalreturnsandfails
tosubmitcopiesofthefederalagent'sreports.
Page7
(23)
2008 Form 112 Colorado State
C Corporation income Tax return
Name
ColoradoAccountNumber
·
Address
FederalEmployerIdentificationNumber
City,State,ZIPCode
·
Forthetaxyearbeginning ________________ ,2008,ending _______________ ,200_____.
iF yOU DO NOT NEED a COrpOraTE TaX bOOKlET MailED TO yOU NEXT yEar, ChECK ThiS bOX .......................................................
DO NOT SEND FEDEral rETUrN,
FOrMS Or SChEDUlES wiTh ThiS rETUrN.
DEPARTMENTAlUSEoNlY
a. apportionment of income.Thisreturnisbeingfiledfor:
(42)Acorporationnotapportioningincome;
(43)AcorporationdoinganinterstatebusinessapportioningincomeundertheColoradoIncomeTaxAct(AttachScheduleA);
(44)AcorporationdoinganinterstatebusinessapportioningincomeundertheMultistateTaxCompact(AttachScheduleB);
(45)AcorporationelectingtopayataxonitsgrossColoradosales;
(47)other,federalformfiled ___________________________________________________
b. Separate/Consolidated/Combined Filing. Thisreturnisbeingfiledby:
Asinglecorporationfilingaseparatereturn;
Anaffiliatedgroupofcorporationselectingtofileaconsolidatedreturn.(Warning:suchelectionisbindingforfouryears.)Ifyour
electionwasmadeinaprioryear-entertheyearofelectionhere:___________(AttachScheduleC);
Anaffiliatedgroupofcorporationsrequiredtofileacombinedreturn.(AttachScheduleC);
Anaffiliatedgroupofcorporationsrequiredtofileacombinedreturnthatincludesanotheraffiliated,consolidatedgroup.(Attach
ScheduleC)
rOUND all aMOUNTS TO ThE NEarEST DOllar
1 FederaltaxableincomefromForm1120 ...........................................................................
·
1
2 Federaltaxableincomeofcompaniesnotincludedinthisreturn.....................................
·
2
3 Netfederaltaxableincome,line1minusline2 .................................................................... 3
additions to federal taxable income
4 Federalnetoperatinglossdeduction ................................................................................
·
4
5 Coloradoincometaxdeduction .........................................................................................
·
5
6 otheradditions,attachexplanation ..................................................................................
·
6
7 Totaloflines3through6 .....................................................................................................
7
Subtractions from federal taxable income
8 Exemptfederalinterest.....................................................................................................
·
8
9 Excludableforeignsourceincome....................................................................................
·
9
10 Coloradosourcecapitalgain(assetacquiredonorafter5/9/94,heldfiveyears) ............
·
10
11 othersubtractions,attachexplanation ..............................................................................
·
11
12 Totaloflines8through11 .....................................................................................................12
13 Modifiedfederaltaxableincome,line7minusline12 .......................................................... 13
14 Coloradotaxableincomebeforenetoperatinglossdeduction .........................................
·
14
15 Coloradonetoperatinglossdeduction ..............................................................................
·
15
16 Coloradotaxableincome,line14minusline15 ...................................................................16
·
.00
.00
.00
.00
.00
.00
.00
.00
.00
.00
.00
.00
.00
.00
.00
.00
F. Kindofbusinessindetail:
Name
TelephoneNumber
Address
City
State
ZIP
D. business code number per federal return
·
___________________________________________
E. year corporation began doing business in Colorado
·
C. The corporation's books are in care of:
DO NOT SEND FEDEral rETUrN, FOrMS Or SChEDUlES wiTh ThiS rETUrN.
Form 112
page 2
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.00
.00
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.00
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.00
MakecheckspayabletoandmailreturntotheCOlOraDO DEparTMENT OF rEVENUE, DENVEr COlOraDO 80261-0006.
TheStatemayconvertyourchecktoaonetimeelectronicbankingtransaction.Yourbankaccountmaybedebitedasearlyasthesamedayreceivedbythe
State.Ifconverted,yourcheckwillnotbereturned.Ifyourcheckisrejectedduetoinsufficientoruncollectedfunds,theDepartmentofRevenuemaycollect
thepaymentamountdirectlyfromyourbankaccountelectronically.
g. HastheInternalRevenueServicemadeanyadjustmentsinthecorporation'sincomeortaxorhaveyoufiledamendedfederalincometax
returnsatanytimeduringthelastfouryears?
Yes
NoIfYes,forwhichyear(s)? _____________________________
DidyoufileamendedColoradoreturnstoreflectsuchchangesorsubmitcopiesoftheFederalAgent'sreports?
Yes
No
Under penalties of perjury in the second degree, i declare that i have examined this return and to the best of my knowledge it is true, correct
and complete. Declaration of preparer (other than taxpayer) is based on all information of which preparer has any knowledge.
Signature
Date
Title
17 Tax,4.63%oftheamountonline16 ................................................................................ n17
18 NewinvestmenttaxcreditfromForm112CR ...................................................................
·
18
19 EnterprisezoneinvestmenttaxcreditfromForm112CR ....... ................................................
·
19
20 EnterprisezoneemployeecreditsfromForm112CR ......... ...........................................
·
20
21 EnterprisezonecontributioncreditfromForm112CR ......... ............................................
·
21
22 otherenterprisezonecreditsfromForm112CR ...............................................................
·
22
23 AlternativefuelvehiclecreditfromForm112CR ...............................................................
·
23
24 AlternativefuelrefuelingfacilitycreditfromForm112CR ...................................................
·
24
25 GrossconservationeasementcreditfromForm112CR ..................................................
·
25
26 othercreditsfromForm112CR ........................................................................................
·
26
27 Totalcredits,totaloflines18through26 ............................................................................ 27
28 Nettax,line17minusline27 .............................................................................................. 28
29 Recaptureofprioryearcredits .........................................................................................
·
29
30 Totaloflines28and29....................................................................................................... 30
31 Estimatedtaxandextensionpaymentsandcredits .........................................................
·
31
32 Penalty,alsoincludeonline35ifapplicable ....................................................................
·
32
33 Interest,alsoincludeonline35ifapplicable ....................................................................
·
33
34 Estimatedtaxpenalty,alsoincludeonline35ifapplicable ..............................................
·
34
35 Ifamountonline30exceedsamountonline31,enteramountowed ..............................
·
35
36 overpayment,line31minusline30 .................................................................................... 36
37 overpaymenttobecreditedtoestimatedtax ....................................................................
·
37
38 overpaymenttoberefunded .............................................................................................
·
38
Nameandtelephonenumberofpersonorfirmpreparing
return
.00
.00
.00
.00
.00
.00
.00
.00
14
15
1 Totalmodifiedfederaltaxableincomefromline13,page1,Form112. ....................................... 1
2 Grosssalesofgoods,merchandiseandproperty ........ 2
3 Grossrevenuefromservices ........................................ 3
4 Grossrentsandroyaltiesfromrealandtangible
personalproperty .......................................................... 4
5 Grosssalesofrealandtangiblepersonalproperty ...... 5
6 Gainfromthesaleofintangiblepersonalproperty ....... 6
7 Taxableinterestanddividendincome ........................... 7
8 Patentandcopyrightroyalties ....................................... 8
9 Totalrevenue ................................................................ 9
·
·
10 Percentageline9
(Colorado)toline9(Total)
·
______________% times
1
/
2
line 1, $ _____________equals. ..... 10
iNCOME appOrTiONED TO COlOraDO by USE OF ThE prOpErTy FaCTOr:
11 Inventories ........11
·
·
·
·
12 land ................. 12
·
·
·
·
13 Buildingsand
Equipment ........ 13
·
·
·
·
14 otherproperty,
explain ............. 14
·
·
·
·
15 Total,lines11
through14 ........ 15
·
·
·
·
16
Averagebeginningandending...
16
...................... 16
17 leasedrealproperty ...........17
·
....................... 17
·
18 leasedtangiblepersonal
property ...............................18
·
....................... 18
·
19 Totallines16,17and18 .....19
....................... 19
20 Percentageline19
(Colorado)toline19(Total)
·
_____________% times
1
/
2
line 1, $ _____________equals. .... 20
21Totaloflines10and20.Enteronline14,page1,Form112. .................................................... 21
DO NOT SEND FEDEral rETUrN, FOrMS Or SChEDUlES wiTh ThiS rETUrN.
SChEDUlE a-COlOraDO iNCOME TaX aCT (2 FaCTOr) appOrTiONMENT SChEDUlE
Colorado
Total
Beginning
Ending
Beginning
Ending
iNCOME appOrTiONED TO COlOraDO by USE OF ThE rEVENUE FaCTOr:
DoNoTINClUDEFoREIGNSoURCEREvENUES
MoDIFIEDoUToNlINE9,PAGE1,FoRM112.
Total
Colorado
DO NOT SEND FEDEral rETUrN, FOrMS Or SChEDUlES wiTh ThiS rETUrN.
SChEDUlE b-MUlTiSTaTE TaX COMpaCT (3 FaCTOr) appOrTiONMENT SChEDUlE
1 Computation of the property factor:
(a)Inventories .....................
·
·
·
·
(b)land ..............................
·
·
·
·
(c)
BuildingsandEquipment
.
·
·
·
·
(d)otherproperty(explain)
·
·
·
·
(e)Total(a)through(d) .......
·
·
·
·
(f)Average .........................
(g)leasedproperty(Attachschedule)
·
...............
·
(h)Total(f)and(g) ..............................
..................
(i)Percentage1(1)(h)to1(2)(h)..........................................................................................................
·
1%
2 Computation of the payroll factor:
(a) Coloradocompensationpaidduringthetaxableyear ..............
·
(b) Totalcompensationpaidduringthetaxableyear .....................
·
(c) Percentage2(a)to2(b) ..................................................................................................
·
2%
3 Computation of the sales factor:
INClUDEoNlYINCoMENoT
DIRECTlYAlloCATED
(a) Grosssalesofproperty .............................
·
·
(b) Grosssalesofservices .............................
·
·
(c) Rentsandroyalties ...................................
·
·
(d) otherrevenue(explain) ............................
·
·
(e) Totalrevenue ............................................
·
·
(f) Percentage3(1)(e)to3(2)(e) .......................................................................................................
·
3%
4 Totaloflines1,2and3 ...........................................................................................................................4%
5 Averagefactor,line4dividedbythenumberoffactorscomputedabove ..........................................
·
5%
6 Totalmodifiedfederaltaxableincomefromline13,page1,Form112. ....................................................................6
7 less income directly allocable:
NoN
-
(a)
Netrentsandroyaltiesfromrealortangiblepersonalproperty
·
BUSINESS
(b) Capitalgainsandlosses .......................................................
·
INCoME
(c) Interestanddividends ..........................................................
·
oNlY
(d) Patentsandcopyrightroyalties ............................................
·
(e) Totalincomedirectlyallocable
........................................................................................................
·
7
8 Modifiedfederaltaxableincomesubjecttoapportionmentbyformula,line6lessline7 ......................8
9 IncomeapportionedtoColoradobyformula,line5timesline8 ............................................................9
10 add income directly allocable to Colorado:
(a)
Netrentsandroyaltiesfromrealortangiblepersonalproperty
·
(b) Capitalgainsandlosses .......................................................
·
(c) Interestanddividends ..........................................................
·
(d) Patentsandcopyrightroyalties ............................................
·
(e) TotalincomedirectlyallocatedtoColorado .............................................................
·
10
11 Total incomeapportionedtoColorado,line9plusline10.Enteronline14,page1,Form112. ......11
(Ending)
(Beginning)
(Ending)
(Beginning)
(2)Total
(1)Colorado
(1)Colorado
(2)Total
DoNoTINClUDEFoREIGNSoURCE
REvENUESMoDIFIEDoUToNlINE9,FoRM112
DO NOT SEND FEDEral rETUrN, FOrMS Or SChEDUlES wiTh ThiS rETUrN.
D
E
I
a. NAMEANDADDRESSoFCoRPoRATIoN
C. FEDERAL EMPLOYER
IDENTIFICATION NUM-
BER
No.
B. COLORADO
IDENTIFICATION
NUMBER
G. ChANgE IN OwN-
ERshIP % DURINg
TAxABLE PERIOD
(YEs/NO)
E. ChECk ( )
IF CORP. Is
INCLUDED IN
COMBINED
RETURN
H. % OF
OwNERshIP
CLOsE OF
TAxABLE
PERIOD
I. PRINCIPAL
BUsINEss ACTIVITY
1
D
E
F
G
H
I
A
B
C
2
%
D
E
F
G
H
I
A
B
C
3
%
D
E
F
G
H
I
A
B
C
4
%
D
E
F
G
H
I
A
B
C
5
%
D
E
F
G
H
I
A
B
C
D
E
F
G
H
I
A
B
C
6
7
%
%
(Parent)
phOTOCOpy aND aTTaCh aDDiTiONal pagES aS NEEDED
SChEDUlE C-COlOraDO aFFiliaTiONS SChEDUlE
D. INTERCOMPANY
BUsINEss
RELATIONshIPs
(sEE INsTRUCTIONs)
F. OwNED
BY CORP.
NUMBER
1.
2.
3.
4.
5.
6.
1.
2.
3.
4.
5.
6.
A
B
C
1.
2.
3.
4.
5.
6.
1.
2.
3.
4.
5.
6.
1.
2.
3.
4.
5.
6.
1.
2.
3.
4.
5.
6.
1.
2.
3.
4.
5.
6.
ScheduleCmustbecompletedifthecorporationforwhich
thereturnisfiledowneda)morethan50percentofthe
stockofanothercorporationor,b)morethan50percent
ofthestockofthecorporationforwhichthereturnisfiled
wasownedbyanothercorporation.
Enterinformationforthecommonparentonline1.lines
2 through 7 are for subsidiary corporations. Photocopy
andattachadditionalsheetsifnecessary.
Columns a Through C:
Enterthecorporation'sname,address,ColoradoIDnumber
andfederalemployerIDnumber.
Column D:
Taxpayerswhoareaffiliatedcorporations,asdescribed
above,andwhohavemorethan20percentoftheirproperty
andpayrolllocatedwithintheUnitedStatesmustcomplete
ColumnD.
TheblocksinColumnDarenumberedfromone(1)to
six(6)andcorrespondtothesixnumberedintercompany
businessrelationshipsdescribedbelow.Foreachaffiliate
listedonScheduleC,markyes(Y)orno(N)intheblocks
of Column D, to indicate whether the below described
intercompanybusinessrelationshipsdidordidnotexist
duringthetaxyearandthetwoprecedingtaxyears.
intercompany business relationships:
1.Is50percentormoreofthecorporation'sgross
receiptsfromsalesorleasestootheraffiliatesor
is50percentormoreofthecorporation'scostof
goodssoldorleasedfromotheraffiliates?
2.Doesthecorporationreceive50percentormore
ofthetotalannualvalueofeachoffiveormore
of the following services from other affiliates:
advertisingandpublicrelations;accountingand
bookkeeping;legal;personnel;sales;purchasing;
researchanddevelopment;insurance;employee
benefitprograms?Donotcountserviceswhich
are provided at an "arm's length charge." (See
U.S.TreasuryRegulation1.482(b)(3).)
3.Is20percentormoreofthecorporation'slong-term
debtowedtoorguaranteedbyotheraffiliates?Is
20percentormoreofanyotheraffiliateslong-term
debtowedtoorguaranteedbythecorporation?
4.Does the corporation use patents, trademarks,
service marks, logos, trade secrets, copyrights
or other proprietary materials owned by other
affiliates? Does the corporation own patents,
trademarks,servicemarks,logos,tradesecrets,
copyrights,orotherproprietarymaterialsthatare
usedbyotheraffiliates?
5.Are50 percent ormore ofthemembers ofthe
corporation'sboardofdirectorsalsomembersof
theboardofdirectorsorcorporateofficersofother
affiliates?
6.Are25percentormoreofthecorporation'stwenty
highest ranking officers also members of the
boardofdirectorsorcorporateofficersofother
affiliates?
Column E:
ChecktheblockinColumnEifthecorporationisincluded
inacombinedreport.Corporationsincludedinacombined
reportmusthaveansweredyes(Y)tothreeormoreof
the intercompany business relationships referred to in
ColumnD.
Columns F through i:
Entercorporation'sownernumber,whetherornotthere
wasachangeinownership,ownershippercentageand
principalbusinessactivity.
iNSTrUCTiONS FOr FOrM 112Cr
priority Of Credits
ThelawprovidesthatthenewInvestmentTaxCredit(ITC)
islimitedtothetaxliabilityremainingaftertheoldITC.
otherwise, the taxpayer may choose the sequence in
whichthecreditsareclaimed.Particularattentionshould
be paid to the carryback and carryover features of the
variouscredits.
The New investment Tax Credit
AnewColoradoITCisallowedinanamountequalto1
percent of the total qualified investment as determined
undersection46(c)oftheinternalrevenuecodeinqualified
propertyasdefinedinsection48oftheinternalrevenue
code as such sections existed prior to the Revenue
ReconciliationActof1990.
11.
ThenewITCisbasically10percentofwhatthefederal
regularpercentageITCwouldbeifitwerestillineffect.
ThenewITCislimitedto$1,000reducedbytheamount
oftheoldITCclaimedforthesametaxyear.
AnyexcessnewITCremainingmaybecarriedforward
foraperiodofthreeyears.Itmaynotbecarriedbackto
anearlieryear.
The new Colorado ITC is allowed only with respect to
assetslocatedwithinColorado.Ifqualifyingpropertyis
locatedbothwithinandwithoutColoradoduringthetax
year,thecreditshallbeapportionedbasedonthetimeof
usageofsuchpropertyinColoradoduringthetaxyear
ascomparedwiththetotaltimeofusageofsuchproperty
everywhereduringthetaxyearunlessthetaxpayercan
justifyamoreequitableapportionmentmethod.
AllInternalRevenueCodesection46(assuchsection
existedpriorto1990)restrictionsonqualifiedinvestment
applyforpurposesofthenewITC.Forexample,onlya
fractionofthebasisorcostofassetsthathaveauseful
lifeoflessthansevenyearsqualifiesforthecredit,only
$150,000ofusedpropertymayqualifyforthecredit,and
anyamountsexpensedundersection179oftheInternal
RevenueCodedonotqualify.
Page12
iNSTrUCTiONS FOr SChEDUlE C
1
Taxliabilityfromline17,Form112 .................................................................................. 1
a ThE NEw iNVESTMENT TaX CrEDiT
2
$1,000minusamountonline62 ....................................................2
3
Currentyearqualifiedinvestment ...................................................3
4
one%oftheamountonline3 .......................................................4
5
Newinvestmenttaxcreditcarryover ..............................................5
6
Totaloflines4and5 .......................................................................6
7
Allowablecredit.Smalleroflines2or6.Enterhereandonline18,Form112 ............... 7
b ENTErpriSE ZONE iNVESTMENT TaX CrEDiT
8
Smallerofamountonline1above,or$5,000 ................................8
9
50%oftheamountonline1aboveinexcessof$5000 ................9
10 Totaloflines8and9 .....................................................................10
11 oldinvestmenttaxcredit,ifany,fromline62 ...............................11
12 line10minusline11 ....................................................................12
13 Qualifyingcurrentyearinvestment ...............................................13
14 3%ofamountonline13 ...............................................................14
15 Enterprisezoneinvestmenttaxcreditcarryover ..........................15
16 Totaloflines14and15 .................................................................16
17 Allowablecredit.Smalleroflines12or16.Enterhereandonline19,Form112 ........ 17
C ENTErpriSE ZONE NEw bUSiNESS FaCiliTy EMplOyEE CrEDiTS
18 Monthlyaverageofqualifiednewbusinessfacilityemployees ...................... 18
19 Numberofemployeesforwhichcredithaspreviouslybeenclaimed ............. 19
20 Increaseinqualifiedemployees,line18minusline19 .................................. 20
21 Numberofemployeesonline20multipliedby$500 ....................21
22 Numberofemployeesonline20inanenhanced
ruralenterprisezonemultipliedby$2,000 ....................................22
23 Numberofagriculturalprocessingemployeesonline20
multipliedby$500 .........................................................................23
24 Numberofagriculturalprocessingemployeesonline20
inanenhancedruralenterprisezonemultipliedby$500 .............24
25 Newbusinessfacilityemployeecreditcarryover ..........................25
26 Numberofhealthinsurancequalified
employees_____multipliedby$200 ...........................................26
27 Allowablecredit.Totaloflines21through26.Enterhereandonline20,Form112. .... 27
D CONTribUTiON TO ENTErpriSE ZONE aDMiNiSTraTOr CrEDiT
28 Currentyearcashcontributions ....................................................28
29 valueofcurrentyearin-kindcontributions ...................................29
30 Totaloflines28and29 .................................................................30
31 Thesmallerof$100,000or25%ofline30 ...................................31
32 limitationoninkindcredit,50%ofline31 ..................................32
33 Allowableinkindcredit,thesmalleroflines29or32 ..................33
34 limitationoncashcredit,line31minusline33 ............................34
35 Allowablecashcredit,thesmalleroflines28or34 ......................35
36 Contributioncreditcarryover ........................................................36
37 Allowablecredit.Smallerofthetotaloflines33,35,and36,or$100,000.
Enterhereandonline21,Form112 ............................................................................................ 37
FOrM 112 Cr COlOraDO COrpOraTiON CrEDiT SChEDUlE
2008
Taxpayer'sname
Coloradoaccountnumber
attach this form to your completed income tax return Form 112
if the total of the credits claimed on this form exceeds the tax amount on line 1, see the limitation at the
bottom of the form.
E ENTErpriSE ZONE VaCaNT COMMErCial bUilDiNg rEhabiliTaTiON CrEDiT
38 $50,000minuscreditpreviouslyclaimedorcarriedover .............38
39 Qualifiedcurrentyearexpenditures ..............................................39
40 Smallerof$50,000or25%ofline39 ...........................................40
41 Smallerofline38orline40 .........................................................41
42 Rehabilitationcreditcarriedover ..................................................42
43 Allowablecredit.Totaloflines41and42.Enterhereandonline22,Form112 ........... 43
F ENTErpriSE ZONE rESEarCh aND EXpEriMENTal CrEDiT
44 Qualifyingcurrentyearexpenditures ............................................44
45 Firstprecedingyearexpenditures ............. 45
46 Secondprecedingyearexpenditures ........ 46
47 Totallines45and46 .................................. 47
48 one-halfoftheamountonline47 ................................................48
49 line44minusline48 ....................................................................49
50 3%oftheamountonline49 .........................................................50
51 25%oftheamountonline50 .......................................................51
52 25%ofline50of2005Form112CR ............................................52
53 25%ofline50of2006Form112CR ............................................53
54 25%ofline50of2007Form112CR ............................................54
55 Excesscreditcarriedover ............................................................55
56 Allowablecredit,Totaloflines51,52,53,54&55.Enterhereandonline22,Form112 ......... 56
g MiSCEllaNEOUS ENTErpriSE ZONE CrEDiTS
57 Enterprisezonejobtrainingcredit.Enterhereandonline22,Form112 ..................... 57
58 Ruraltechnologyenterprisezonecreditcarryforward.Enterhereandonline26,Form112 .... 58
h MiSCEllaNEOUS CrEDiTS
59 Alternativefuelvehiclecredit.Enterhereandonline23,Form112 ............................. 59
60 Alternativefuelrefuelingfacilitycredit.Enterhereandonline24,Form112 ................ 60
61 Grossconservationeasementcredit.Enterhereandonline25,Form112 ...................... 61
62 oldinvestmenttaxcredit ..............................................................62
63 Cropandlivestockcontributioncredit ...........................................63
64 Historicpropertypreservationcredit .............................................64
65 Childcarecontributioncredit ........................................................65
66 Childcarecenterfamilycarehomeinvestmentcredit .................66
67 Employerchildcarefacilityinvestmentcredit ...............................67
68 School-to-careerinvestmentcredit ...............................................68
69 Coloradoworksprogramcredit ....................................................69
70 Contaminatedlandredevelopmentcredit .....................................70
71 low-incomehousingcredit ...........................................................71
72 Weatherrelatedlivestocksalecreditcarryforward .......................72
73 Aircraftmanufacturernewemployeecredit ..................................73
74 Allowablecredits.Totaloflines62through73.Enterhereandonline26,Form112 ... 74
FOrM 112Cr
2008 COlOraDO COrpOraTiON CrEDiT SChEDUlE
pagE 2
liMiTaTiON:Thetotalcreditsyouclaimonlines7,17,27,37,43,56,57,58,59,60,61,and74ofthisForm112CR
maynotexceedthetaxonline1.Ifyouhaveexcesscredits,youmustchoosewhichcreditsyouaregoingtouse
againstyour2008taxandenterthoseamountsontheappropriatelinesofForm112.Asageneralrule,mostunused
2008creditsmaybecarriedforwardandclaimedonyour2009ColoradoIncomeTaxReturn.
Creditstobecarriedforwardto2009:
Page15
Enterprise Zones
An enterprise zone is an economically distressed area
of Colorado in which special tax incentives are offered to
businessesthatexpandorlocateinthezone.Thepurpose
ofthetaxincentivesistocreatenewjobsandinvestmentsin
thezone.See
General6forinformationregardingthe
locationoftheenterprisezones.
Enterprise Zone investment Tax Credit
InlieuoftheoldColoradoinvestmenttaxcredit(ITC)with
respecttosuchproperty,thereshallbeallowedtoanyperson
a Colorado income tax credit in an amount equal to three
percentofthequalifiedinvestment(asdefinedinsection46
oftheinternalrevenuecode)insection38property(defined
insection48oftheinternalrevenuecode)assaidsections46
and48existedpriortotheenactmentofthefederalRevenue
ReconciliationActof1990totheextentsuchpropertywas
used solely and exclusively in a Colorado enterprise zone
duringthefirsttwelvemonthsofownershipofsuchproperty
bythetaxpayer.
Section38propertyisbasicallytangiblepersonalproperty
whichiseither(federal)recoverypropertyorotherdepreciable
oramortizablepropertyhavingausefullifeofthreeyearsor
moreusedinthetaxpayer'stradeorbusiness.only60percent
oftheinvestmentin3-yearrecoverypropertyqualifiesforthe
credit.Thequalifiedinvestmentinusedpropertyislimitedto
$150,000peryear,andanyamountsexpensedundersection
179oftheinternalrevenuecodedonotqualifyforthecredit.
Undercertaincircumstancesthetaxpayermayclaimthecredit
onleasedproperty.
TheenterprisezoneITCmaybeclaimedinanamountequal
tothefirst$5,000oftaxliabilityplus50percentofthetax
liabilityinexcessof$5,000.EnterprisezoneITCearnedintax
yearsbeginningonorafterJanuary1,1996maybecarried
back3yearsandforward12.EnterprisezoneITCearned
intaxyearspriortoJanuary1,1996maybecarriedback3
yearsandforward7.
AnytaxpayerclaiminganenterprisezoneITCof$450ormore
mustsubmitwithitsincometaxreturnacertificatefromthezone
administrator(FormDR0074)totheeffectthatthetaxpayer`s
businessislocatedintheenterprisezone.
11.
Enterprise Zone New business Facility Employee
Credits
onlytaxpayerswhoestablishanewbusinessfacilityorexpand
anexistingfacilityinanenterprisezonemayclaimthenew
businessfacilityemployeecredits.Thesecreditsmaynotbe
claimedwithrespecttofacilitiesthatwereinplacepriortothe
establishmentofthezoneexceptforaqualifiedexpansion.
· basic employee credit.Taxpayers which establish a
newbusinessfacilitymayclaimacreditof$500forthe
firsttwelvemonthperiodtheyemployaqualifiednew
businessfacilityemployee.Forsubsequenttaxperiods,
theyareallowedtoclaimthiscreditwithrespecttothe
increaseintheaveragenumberofenterprisezonenew
businessfacilityemployees.Anadditional$2,000credit
for each new business facility employee is available
tobusinesseslocatedinanenhancedruralenterprise
zone.
· agricultural processing employee credit. Any
taxpayerwhooperatesabusinesswithinanenterprise
zone which adds value through manufacturing or
processing to agricultural commodities can claim an
additional$500employeecredit.Anadditional$500credit
for each new business facility agricultural processing
employee is available to businesses located in an
enhancedruralenterprisezone.onlybusinessesdirectly
engaged in manufacturing or processing agricultural
commoditiesintosomeformotherthanthatwhichenters
normalagriculturalcommoditymarketingchannelsqualify
forthisspecialincentive.Harvesting,cleaning,packaging,
storing,transporting,wholesaling,retailing,orotherwise
distributingproductswithoutchangingtheirformdonot
qualify.
· health insurance credit.Anenterprisezonetaxpayer
canqualifyforacreditof$200foreachnewbusiness
facilityemployeewhoisinsuredunderahealthinsurance
plan or program provided through the employer. Any
health insurance, health maintenance organization,
orprepaidhealthplanwhichisapprovedbytheState
InsuranceCommissionerforsaleinColoradoqualifies.
Theemployermustcontribute50percentormoreofthe
totalcostoftheplan.Aqualifyingtaxpayermayclaimthis
creditforthefirsttwofullincometaxyearsafterthefacility
iscompletedoracquiredwithinanenterprisezone.
Inordertoclaimtheenterprisezonenewbusinessfacility
employeecredits,thetaxpayermustsubmitwithitsreturn
acertificationfromthezoneadministrator(FormDR0074).
10.
Contributions To Enterprise Zone administrator Credit
Thecreditforcontributionstoanenterprisezoneadministrator
tofurthertheeconomicdevelopmentplanofthezoneisallowed
at25percentforcashcontributions,12.5percentforin-kind
contributions,andablendedpercentageforcombinedcash/
in-kindcontributions.
23.
Thecertificate(s)ofcontribution(FormDR0075)furnished
toyoubythezoneadministratorortheprogram,projector
organizationwillshowtheamountofyourcontributionsthat
qualifyforthe25percentcash12.5percentin-kindcredit.
FormDR0075mustbeattachedtoForm112.
Thecontributioncreditissubjecttothefollowingrules:
1. Theamountofcreditgeneratedinanyonetaxyearmay
notexceed$100,000.
2. Theamountofcreditgeneratedinexcessofthecredit
claimedmaybecarriedforwardforupto5years.
3. Thecreditislimitedto25percentofthetotalvalueofthe
contribution.
4. Credit for in-kind contributions are limited to one-half
the credit allowed for cash contributions of the same
value.
5. Ifataxpayerhasbothcashandin-kindcontributionsduring
ataxyear,creditforcashcontributionsmaybeallowed
atupto100percentbutonlytotheextentnecessaryto
bringthetotalcreditupto25percentofthevalueofthe
combinedcontributions.
6. Creditwillnotbeallowedforcontributionsthatdirectly
benefitthecontributororthatarenotdirectlyrelatedto
jobcreation,jobpreservation,child-carepromotionorfor
temporary,emergencyortransitionalhousingprograms
whichpromoteemploymentforhomelesspersons.
Page16
Fyis are available at www.TaxColorado.com
COlOraDO DEparTMENT
OF rEVENUE
DENvERCo80261-0006
www.TaxColorado.com
PRSRTSTD
U.S.PoSTAGE
paiD
ColoRADoDEPT
oFREvENUE
Enterprise Zone Vacant Commercial building rehabilita-
tion Credit
A25percentcreditisavailableforrehabilitatingcommercial
buildingsinanenterprisezonewhichareatleast20years
oldandwhichhavebeenvacantforatleasttwoyears.
24.
Enterprise Zone research and Experimental activities
Credit
Taxpayerswhomakeresearchandexperimentalexpenditures
inanenterprisezoneareentitledtoacreditintheamount
of3percentofsuchcurrentyearexpendituresinexcessof
theaverageofsuchexpendituresforthetwoprecedingtax
years.
22.
Enterprise Zone Job Training Credit
A credit of 10 percent of the total current year investment
in a qualified job training program for employees working
predominantlywithinanenterprisezoneisavailable.
31.
rural Technology Enterprise Zone Credit Carryforward
Creditsfrom1999-2004inexcessofthetaxduecanbe
carriedforwardfor10years.
36.
alternative Fuel refueling Facility Credit
A 50 percent credit is available for the construction,
reconstructionoracquisitionofanalternativefuelrefueling
facility.
9.
gross Conservation Easement Credit
Acreditbasedonthevalueofadonatedconservationeasement
inColoradoisavailable.AttachacopyofFormDR1305to
Form112whenclaimingthiscredit.Additionaldocumentation
isrequiredifthecorporationdonatedtheeasementduring
thetaxyear.
39.
The Old investment Tax Credit
Theoldinvestmenttaxcreditisthesumoftheoldinvestment
tax credit carry over, the current year old investment tax
credit and the old investment tax credit carry back. The
currentyearcreditis10percentofthefederalcurrentyear
rehabilitation,energyandreforestationinvestmentcrediton
assetslocatedinColorado.Thecreditislimitedtothefirst
$5,000oftaxliabilityplus25percentofthetaxinexcessof
$5,000.Excesscreditmaybecarriedbackthreeyearsand
forwardseven.
11.
Crop and livestock Contribution Credit
A25percentcreditisavailableforthedonationofcropsor
livestocktoacharitableorganization.
57.
historic property preservation Credit
Acreditof20percentofthecostofrestoringcertifiedhistoric
propertyinColoradoisavailable.
1.
Child Care Contribution Credit
A50percentcreditisavailableforqualifyingcontributions
madetopromotechildcareinColorado.
35.
Child Care Facility investment Credit
A20percentinvestmentcreditisavailableforcertaintangible
personalpropertyusedintheoperationofachildcarecenter,
afamilychildcarehome,orafostercarehome.
7.
Employer Child Care Facility investment Credit
A 10 percent investment credit is available for employer
sponsoredchildcarefacilityinvestment.
7.
School-to-career investment Credit
A credit of 10 percent of the current year investment
in a qualified school-to-career program is available.
32.
Colorado works program Credit
Acreditof20percentofanemployer'sexpenditurestoemploy
recipientsofpublicassistanceisavailable.
34.
Contaminated land redevelopment Credit
A20percent50percentcreditisavailableforexpenditures
made to redevelop contaminated land in Colorado.
42.
low-income housing Credit
A credit is available for owners of qualified low-income
housingdevelopments.Youmustattachacopyofyourcredit
certificationfromtheColoradoHousingandFinanceAuthority
toclaimthiscredit.
46.
weather related livestock Sale Credit Carryforward
Creditsfrom2002and2003inexcessofthetaxduecanbe
carriedforwardfor5years.
55.
aircraft Manufacturer New Employee Credit
A credit is available to qualified aircraft manufacturers
locatedinanaviationdevelopmentzone.
62.