Alternate investment tax credit; use
(1) A company which has signed an agreement under section 77-5536 may receive, in lieu of any wage benefit credit otherwise allowed by the Invest Nebraska Act, the incentive provided in this section if the agreement is for a project which will result in the investment in qualified property of at least two hundred million dollars and the hiring of at least five hundred new employees. Such two hundred million dollar investment and hiring of at least five hundred new employees shall be considered the required levels of investment and employment for this section and for the recapture of the incentives of this section only.
(2) When the company has met the required levels of employment and investment contained in this section, the company shall be entitled to either the wage benefit credit provided in section 77-5531 or an investment tax credit equal to fifteen percent of the investment made in qualified property at the project. The company shall be required to state which option it will seek benefits under in the application for benefits under the act.
(3) The investment tax credit prescribed in this section shall be allowable for investments made during each year of the entitlement period that the company is at or above the required levels of employment and investment. The credit shall also be allowable during the first year of the entitlement period for investment in qualified property at the project after the date of the application and before the required levels of employment and investment were met.
(4) The investment tax credit prescribed in this section shall be established by filing the forms required by the Tax Commissioner with the income tax return for the year. The credits may be used to reduce the company's Nebraska income tax liability. The credits shall be applied in the order in which they were first allowed. Any decision on how part of the credit is applied shall not limit how the remaining credit could be applied under this section. The credit may be carried over until fully utilized, except that the credit may not be carried over more than eight years after the end of the entitlement period. If a credit is subsequently recaptured under section 77-5538 , the credit shall be treated as if it had never been allowed.
(5) The investment tax credit shall not be transferable, except that any credit to be taken against the income tax liability of the company and allowable to a partnership, a limited liability company, a subchapter S corporation, a cooperative, a joint venture, or an estate or trust may be distributed to the partners, members, shareholders, patrons, owners, or beneficiaries in the same manner as income is distributed for use against their income tax liabilities.