Entering North Carolina credits including Forms D-400TC and 478 in ProConnect

Form D-400TC Individual Income Tax Credits

• Part 1 - Credit for Income Tax Paid to Another State or Country - NC Residents Only - Use Screen North Carolina Other State Tax Credit, to enter information for this credit. On multi-state returns with North Carolina as the resident state for the entire year, this credit is calculated automatically.
• Part 2 - Credits for Rehabilitating Historic Structures - Use Screen North Carolina Credits (Form D-400TC) to enter amounts for this credit. Enter the amounts in the applicable sections to flow to the corresponding line on the Form D-400TC.
• Other North Carolina Credits - Use Screen North Carolina Credits (Form D-400TC) to enter the North Carolina credit carryover to enter the carryovers from previous years. You must attach a manually prepared statement showing calculation of the credit. This entry prints on Form D-400TC.

Form 478 - Summary of Tax Credits Limited to 50% of Tax

Use Screen North Carolina 478 Credits, to enter amounts for the NC-478.

NC-478 Schedule - Pass-Through Schedule for NC-478 Series

• P/S(Ctrl+E) - Enter P or S to designate the type of entity that has passed-through the credit. Enter a “P” if the entity was a pass-through (such as an LLC, partnership, or S-corporation that qualified for the credit) or an “S” if the entity was a Successor Business (a business that has changed owners since qualification for the credit).
• Article 3J tax credit elected to treat as a tax payment - If the business or individual took a tax credit on Form NC-478, Part 3, of any Article 3J Credits and received the credit(s) from a pass-through entity, enter the amount of credit(s) you elect to treat as a tax payment pursuant to G.S 105-129.84(e).
• Tax Credit Summary (Form NC-478) entries - NC-478 credits may no longer be manually prepared and submitted with the summary sheet. All NC-478 forms must be computer-generated from this package.
• Credit for creating jobs (Article 3J) [O] - The program automatically calculates the credit available on Forms NC-478A-L. Enter an amount to override this calculation. This amount prints on Form NC-478, Part 3.
• Credit for research and development - Article 3A (NC-478C) carryover - The program automatically calculates the credit available on Forms NC-478A-L.  Enter an amount to override this calculation.  This amount prints on Form NC-478, Part 1.
• Credit for research and development - Article 3F (NC-478) [O] - The program automatically calculates the credit available on Forms NC-478A-L. Enter an amount to override this calculation. This amount prints on Form NC-478, Part 1.
• Credit for investing in business property (NC-478)[O] - The program automatically calculates the credit available on Forms NC-478A-L. Enter an amount to override this calculation. This amount prints on Form NC-478, Part 3.
• Credit for investing in renewable energy property (NC-478G)[O] - The program automatically calculates the credit available on Forms NC-478A-L. Enter an amount to override this calculation. This amount prints on Form NC-478, Part 1.
• Credit for technology commercialization - Enter the amount of credit claimed against income tax for technology commercialization. This amount prints on the NC-478, line 9I.
• Credit for renewable fuel facility - Enter the amount of credit claimed against income tax for a renewable fuel facility. This amount prints on the NC-478, line 11I.
• Credit for constructing a railroad intermodal facility - The program automatically calculates the credit available on Forms NC-478A-L. Enter an amount to override this calculation. This amount prints on Form NC-478, Part 3.
• Credit for investing in real property (NC-478L [O] - The program automatically calculates the credit available on Forms NC-478A-L. Enter an amount to override this calculation. This amount prints on Form NC-478, Part 3.
• Donate funds to nonprofit organization credit - Enter the amount credit claimed for donated funds to nonprofit organizations. This amount prints on Form NC-478, Part 1.
• Credit for renewable energy property facility - The program automatically calculates the credit available on Forms NC-478A-L. Enter an amount to override this calculation. This amount prints on Form NC-478, Part 1.
• Credit for interactive digital media (NC-478I)[O] - The program automatically calculates the credit available on Forms NC-478A-L.  Enter an amount to override this calculation.  This amount prints on Form NC-478, Part 1.
• Other Credits - Substantial investment - Enter the amount to flow to Line 13I Other Income Tax Credits Subject to 50% Limit - Substantial Invest of Form NC-478.

Select Tier/Year Entry on the left middle panel to enter credit information for prior years for Form NC-478G and Form NC-478-L. Click Add for additional years. The Year information is mandatory for the year the credit applies.