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Alabama Pass-Through Credits
Extracted from PDF file 2023-alabama-schedule-pc.pdf, last modified August 2019Pass-Through Credits
SCHEDULE PC *230011PC* Reset Form (FORM 20S OR 65) Alabama Department of Revenue 2023 ADOR Pass-Through Credits ATTACH TO FORM 20S OR 65 *Pass-Through Credits must be submitted through My Alabama Taxes (MAT) before completion of the Schedule PC. See instructions for submission details. NAME(S) AS SHOWN ON FORM 20S OR 65 FEDERAL EMPLOYER IDENTIFICATION NUMBER PART A – Alabama Enterprise Zone Act Credit (attach Schedule EZ) 1 CREDIT ALLOWABLE. Enter the amount from Schedule EZK1, Part II, page 2, line 13, or Schedule EZ, Part IV, page 2, line 13. . . . . . . . . . . . . . . PART B – Basic Skills Education Credit You must attach your approved certification notice issued by the Alabama Department of Education. 1 Enter your assigned Department of Education Certification Number . . . . . . . . . . . . . . . . . . . . . . . . . . 1 • 2 Name of employer/firm sponsoring the education program 3 Name of approved provider Address of approved provider 1 • 4 Were all participants for whom you are claiming a tax credit continuously employed by you for at least 16 weeks? . . . . . . . . . • Yes • No 5 If the answer to line 4 is yes, did employee(s) work at least 24 hours each week? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . • Yes • No 6 If the answer to lines 4 and 5 above is yes, enter the total expenses available for credit (see instructions) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 • 7 CREDIT ALLOWABLE (Multiply line 6 by 20% (.20)). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 • PART C – Coal Credit* 1 Number of tons of coal produced in current year. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 • 2 Number of tons of coal produced in calendar year 1994 or base year . . . . . . . . . . . . . . . . . . . . . . . . . . 2 • 3 Subtract line 2 from line 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 • 4 Multiply line 3 by $1, if greater than zero. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 • 5 Pro rata share of credit from Schedule K-1. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 • FEIN of entity •_____________________(if credit from more than one entity, attach schedule) 6 CREDIT ALLOWABLE. Add lines 4 and 5. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 • PART D – Full Employment Act of 2011 Credit (attach an itemized list of qualified employees)* (see instructions) Were you in business with 50 or fewer full and/or part-time employees on June 9, 2011? • Yes • No If “No”, you do not qualify for this credit. 1 Number of full time employees on 12-31-2022 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 • Number of full time employees on 12-31-2021 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 • Subtract line 2 from line 1. If less than or equal to zero, STOP! You do not qualify for credit. . . . . . . . . 3 • Number of qualifying new employees from line 3 that completed their first 12 months service in 2023 . . 4 • Multiply line 4 by $1,000.00 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 • Pro rata share of credit from Schedule K-1. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 • FEIN of entity •_____________________(if credit from more than one entity, attach schedule) 7 CREDIT ALLOWABLE. Add lines 5 and 6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . PART E – Veteranʼs Employment Act – Employer Credit* 1 Number of unemployed veterans included in line 4, Part D . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 • 2 Multiply line 1 by $2,000.00. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 • 3 Pro rata share of credit from Schedule K-1. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 • FEIN of entity •_____________________(if credit from more than one entity, attach schedule) 4 CREDIT ALLOWABLE. Add lines 2 and 3. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . PART F – Veteranʼs Employment Act – Business Start-up Expenses Credit* Did this business start up after April 2, 2012? • Yes • No If “No”, you do not qualify for this credit. 1 Name 2 Enter your business ID number . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 • 3 Enter total amount of business start-up expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 • 4 Maximum credit. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 $2,000 5 Enter the lesser of line 3 or line 4 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 • 6 Pro rata share of credit from Schedule K-1. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 • FEIN of entity •_____________________(if credit from more than one entity, attach schedule) 7 CREDIT ALLOWABLE. Add lines 5 and 6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . PART G – Qualified Irrigation System/Reservoir System Tax Credit (attach supporting documentation)* 1 Purchase cost and installation costs of irrigation system. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 • 2 Conversion costs to convert from fuel to electricity . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 • 3 Add lines 1 and 2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 • 4 Multiply line 3 by 20% (.20) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 • 5 Cost of constructing reservoir. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 • 2 3 4 5 6 7 • 4 • 7 • ADOR *230012PC* PAGE ALABAMA SCHEDULE PC – 2023 Multiply line 5 by 20% (.20) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 • Enter the amount from line 4 or line 6 here. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 • Maximum Credit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 $10,000 Enter the lesser of line 7 or line 8 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 • Pro rata share of credit from Schedule K-1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 • FEIN of entity •_____________________ (if credit from more than one entity, attach schedule) 11 CREDIT ALLOWABLE. Add lines 9 and 10 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 6 7 8 9 10 11 • PART H – 2013 Alabama Historic Rehabilitation Tax Credit (attach supporting documentation) * 1 Enter the information from the approved tax credit certificate for each project. Project Number: 1a 1b 1c • • • Date Placed in Service: Credit Amount: • • • • • • 2 CREDIT ALLOWABLE. Add lines 1a, 1b and 1c of Credit Amount column.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . PART I – Credit for Taxes paid to a Foreign Country (Note: All dollar figures must be in U.S. dollars) 1 Name of country income earned in • 2 • 2 Income from foreign operations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 • 3 Tax due the foreign country as shown on that country’s tax return . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 • 4 MAXIMUM CREDIT AVAILABLE TO OWNERS (multiply line 3 by 50% (.50)) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 • 5 Amount of Credit Applicable to Nonresident Owners (should not be reported on Nonresident K-1s) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 • 6 Amount of Credit to be Allocated to Resident Owners on Schedule K-1 (Subtract Line 5 from Line 4). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 • PART J – Career-Technical Dual Enrollment Credit (attach your approved certification from the Department of Postsecondary Education)* 1 • 1 Total Qualifying Contribution . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 • 2 Multiply Line 1 by 50%. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $500,000.00 3 3 Maximum Credit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 CREDIT ALLOWABLE. (Enter the lesser of line 2 or line 3) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 • PART K –Investment Credit (Alabama Jobs Act) (attach a copy of your approved certification from the Department of Commerce)* Project Number: 1 Enter the information requested for each project. . . . . . . (Include the amount of credit allocated to income tax) 1a 1b 1c 1d 1e 1f 1g • • • • • • • 2 TOTAL CREDIT. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . PART L – Alabama Accountability Act Credit* 1 Name of Scholarship Granting Organization: • Amount of Credit allocated to Income Tax • • • • • • • 2 • 2 Address of Scholarship Granting Organization: 3 Enter amount contributed for scholarship(s) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 • 4 Pro rata share of credit from Schedule K-1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 • FEIN of entity •_____________________(if credit from more than one entity, attach schedule) 5 CREDIT ALLOWABLE. Add lines 3 and 4 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . PART M – Port Credit (attach your approved certification from the Department of Commerce) 1 CREDIT ALLOWABLE. Enter the amount from the Department of Commerce Credit Certification. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . PART N – Growing Alabama Credit * 1 Name of Economic Development Organization: • 2 Pro rata share of credit from Schedule K-1 if applicable . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 • FEIN of entity •_____________________ (if credit from more than one entity, attach schedule) 3 Amount of approved contribution. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 CREDIT ALLOWABLE. Add lines 2 and 3. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . PART O – Apprenticeship Tax Credit 1 Credit from Alabama Apprenticeship Tax Credit Certificate. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 • 2 Pro rata share of credit from Schedule K-1 if applicable . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 • 5 • 1 • 3 4 • • FEIN of entity •_____________________ (if credit from more than one entity, attach schedule) ADOR *230013PC* PAGE ALABAMA SCHEDULE PC – 2023 3 CREDIT ALLOWABLE. Add lines 1 and 2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 • 2 • 1 • 3 4 • • 3 PART P– 2017 Alabama Historic Rehabilitation Tax Credit (attach supporting documentation) * 1 Enter the information from the tax credit certificate for each project. Project Number: 1a 1b 1c • • • Date Placed in Service: • • • Credit Amount: • • • 2 CREDIT ALLOWABLE. Add lines 1a, 1b and 1c of Credit Amount column. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . PART Q – Railroad Modernization Act of 2019* 1 CREDIT ALLOWABLE. Enter the amount of credit as reported on the Department of Commerce Certificate. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . PART R – Innovate Alabama Tax Credit* 1 Name of Economic Development Organization • 2 Pro rata share of credit from Schedule K-1 if applicable . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 • FEIN of entity •_____________________ (if credit from more than one entity, attach schedule) 3 Enter amount approved by Innovate Alabama. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 CREDIT ALLOWABLE. Add lines 2 and 3. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . PART S – Income Tax Capital Credit Must file AR-PTE on MAT.* Must check applicable box (See Instructions): • KRCC received (must attach Form KRCC) • KRCC issued (must attach Form KRCC) 1 Enter the information requested for each project. Project Number: 1a 1b 1c 1d 1e 1f 1g • • • • • • • 2 TOTAL CAPITAL CREDIT ALLOWABLE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . PART T – Summary 1 TOTAL CREDITS ALLOWABLE. Add Part A, Line 1; Part B, Line 7; Part C, Line 6; Part D, Line 7; Part E, Line 4; Part F, Line 7; Part G, Line 11; Part H, Line 2; Part I, Line 6; Part J, Line 4; Part K, Line 2; Part L, Line 5; Part M, Line 1; Part N, Line 4; Part O, Line 3; Part P, Line 2; Part Q, Line 1; Part R, Line 4 and Part S, Line 2 (Subchapter K entities, Enter the amount from Line 1 on Line 5) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 Tax Due (Form 20S, Line 31) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 Credits to be used to offset 20S tax due on Page 1, Line 32, cannot exceed the tax liability on Part T, line 2. Credit Amount a Basic Skills Education Credit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3a • b Coal Credit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3b • c Career-Technical Dual Enrollment Credit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3c • d Investment Credit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3d • e Port Credit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3e • f Growing Alabama Credit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3f • g 2017 Alabama Historic Rehabilitation Tax Credit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3g • h Railroad Modernization Act of 2019 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3h • i Innovate Alabama Tax Credit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3i • j Income Tax Capital Credit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3j • 4 Total credits to be used on Form 20S (add Lines 3a-3j). Enter this amount on Form 20S, Page 1, line 32. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 Remaining Credits Allowable (subtract line 4 from line 1). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 2017 Alabama Historic Rehabilitation Tax Credit. S Corporations subtract Part T, line 3g from Part P, line 2. Subchapter K entities: Enter the amount from Part P, line 2. Enter this amount on Form 65, line 32 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 Railroad Modernization Act of 2019. S Corporations subtract Part T, line 3h from Part Q, line 1. Subchapter K entities: Enter the amount from Part Q, line 1. Enter this amount on Form 65, line 33. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 Total refundable credits. Total line 6 and line 7. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 Credits allocated to owners (subtract Line 8 from Line 5). Enter this amount in Schedule K, Line 21. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Capital Credit Allowable • • • • • • • 2 • 1 2 • • 4 5 • • 6 • 7 8 9 • • • ADOR
Schedule PC
More about the Alabama Schedule PC Corporate Income Tax Tax Credit TY 2023
We last updated the Pass-Through Credits in February 2024, so this is the latest version of Schedule PC, fully updated for tax year 2023. You can download or print current or past-year PDFs of Schedule PC directly from TaxFormFinder. You can print other Alabama tax forms here.
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TaxFormFinder has an additional 47 Alabama income tax forms that you may need, plus all federal income tax forms. These related forms may also be needed with the Alabama Schedule PC.
| Form Code | Form Name |
|---|---|
| Form Schedule PCL | Consolidated Parent Company Loss Allocation Schedule |
View all 48 Alabama Income Tax Forms
Form Sources:
Alabama usually releases forms for the current tax year between January and April. We last updated Alabama Schedule PC from the Department of Revenue in February 2024.
Schedule PC is an Alabama Corporate Income Tax form. States often have dozens of even hundreds of various tax credits, which, unlike deductions, provide a dollar-for-dollar reduction of tax liability. Some common tax credits apply to many taxpayers, while others only apply to extremely specific situations. In most cases, you will have to provide evidence to show that you are eligible for the tax credit, and calculate the amount of the credit to which you are entitled.
About the Corporate Income Tax
The IRS and most states require corporations to file an income tax return, with the exact filing requirements depending on the type of company.
Sole proprietorships or disregarded entities like LLCs are filed on Schedule C (or the state equivalent) of the owner's personal income tax return, flow-through entities like S Corporations or Partnerships are generally required to file an informational return equivilent to the IRS Form 1120S or Form 1065, and full corporations must file the equivalent of federal Form 1120 (and, unlike flow-through corporations, are often subject to a corporate tax liability).
Additional forms are available for a wide variety of specific entities and transactions including fiduciaries, nonprofits, and companies involved in other specific types of business.
Historical Past-Year Versions of Alabama Schedule PC
We have a total of three past-year versions of Schedule PC in the TaxFormFinder archives, including for the previous tax year. Download past year versions of this tax form as PDFs here:
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