Section 1706-H. Pass-through entity.
(a) General rule.--If a pass-through entity has any unused tax credit under section 1705-H, it may elect, in writing, according to procedures established by the department, to transfer all or a portion of the credit to its shareholders, members or partners in proportion to the share of the entity's distributive income to which the shareholder, member or partner is entitled. ((a) amended June 28, 2019, P.L.50, No.13)
(b) Limitation.--A pass-through entity and a shareholder, member or partner of a pass-through entity shall not claim the credit under subsection (a) for the same qualified expenditures.
(c) Application.--A shareholder, member or partner of a pass-through entity to whom a credit is transferred under subsection (a) shall immediately claim the credit in the taxable year in which the transfer is made. The shareholder, member or partner may not carry forward, carry back, obtain a refund of or sell or assign the credit.
(1706-H added July 2, 2012, P.L.751, No.85)
Compiler's Note: Section 31 of Act 13 of 2019 provided that the amendment of sections 1716-D(a), 1777-D, 1709-E, 1702-H, 1703-H, 1705-H(d) and (e) and 1706-H(a) of this act shall apply to fiscal years beginning on or after July 1, 2019.