SB 1098 Summary

• Reduces the consecutive reporting periods for automatic termination of unused individual and corporate income tax credits from four years to three years.

• Requires the Department of Revenue to terminate recognition of a credit if it goes unclaimed for three consecutive annual reports, effective for taxable years beginning after December 31 of the termination year.

• Mandates inclusion of a savings clause in tax correction legislation to allow continued use of carried-forward unused credits for the remainder of their specified carry-forward period if the credit is repealed.

• Clarifies that unused credits carried forward from prior years are not considered as claimed or allowed in the year they are used for purposes of determining termination eligibility.