Title 44
Taxation

Chapter 31
Investment Tax Credit

R.I. Gen. Laws § 44-31-2

§ 44-31-2. Specialized investment tax credit.

(a) A certified building owner, as provided in chapter 64.7 of title 42, may be allowed a specialized investment tax credit against the tax imposed by chapters 11, 14, 17 and 30 of this title.

(b) The taxpayer may claim credit for the rehabilitation and reconstruction costs of a certified building, which has been substantially rehabilitated. Once substantial rehabilitation is established by the taxpayer, the taxpayer may claim credit for all rehabilitation and reconstruction costs incurred with respect to the certified building within five (5) years from the date of final designation of the certified building by the council pursuant to § 42-64.7-6.

(c) The credit shall be ten percent (10%) of the rehabilitation and reconstruction costs of the certified building. The credit shall be allowable in the year the substantially rehabilitated certified building is first placed into service, which is the year in which, under the taxpayer’s depreciation practice, the period for depreciation with respect to such property begins, or the year in which the property is placed in a condition or state of readiness and availability for its specifically assigned function, whichever is earlier.

(d) The credit shall not offset any tax liability in taxable years other than the year or years in which the taxpayer qualifies for the credit. The credit shall not reduce the tax below the minimum. Amounts of unused credit for this taxpayer may be carried over and offset against this taxpayer’s tax for a period not to exceed the following seven (7) taxable years.

(e) In the case of a corporation, this credit is only allowed against the tax of that of a corporation included in a consolidated return that qualifies for the credit and not against the tax of other corporations that may join in the filing of a consolidated tax return.

History of Section.
P.L. 1996, ch. 247, § 2; P.L. 1998, ch. 400, § 1; P.L. 1999, ch. 373, § 1.