Empowerment Zone and Renewal Community Employment Credit Included on Line 4 from Passive Activities (See Instructions) 5
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OMB No. 1545-1444 Empowerment Zone and Renewal Form 8844 Community Employment Credit 2008 Department of the Treasury © Attach to your tax return. Attachment Internal Revenue Service Sequence No. 99 Name(s) shown on return Identifying number 1 Enter the total qualified wages paid or incurred during calendar year 2008 only (see instructions) a Qualified empowerment zone wages $ X 20% (.20) 1a b Qualified renewal community wages $ X 15% (.15) 1b 2 Add lines 1a and 1b. See instructions for the adjustment you must make to salaries and wages 2 3 Employment zone and renewable community employment credit from partnerships, S corporations, cooperatives, estates, and trusts 3 4 Add lines 2 and 3. Partnerships and S corporations, report this amount on Schedule K; all others, go to line 5 4 5 Empowerment zone and renewal community employment credit included on line 4 from passive activities (see instructions) 5 6 Subtract line 5 from line 4 6 7 Passive activity credit allowed for 2008 (see instructions) 7 8 Carryforward of empowerment zone and renewal community employment credit to 2008 8 9 Carryback of empowerment zone and renewal community employment credit from 2009 (see instructions) 9 10 Add lines 6 through 9. Cooperatives, estates, and trusts, go to line 11. All others, report this amount on Form 3800, line 24 10 11 Amount allocated to the patrons of the cooperative or the beneficiaries of the estate or trust (see instructions) 11 12 Cooperatives, estates, and trusts. Subtract line 11 from line 10. Report this amount on Form 3800, line 24 12 For Paperwork Reduction Act Notice, see instructions. Cat. No. 16145S Form 8844 (2008) Form 8844 (2008) Page 2 General Instructions c Knoxville, TN See Qualified Employees on page 3 c El Paso, TX for a list of persons who are not Section references are to the Internal qualified employees. c San Antonio, TX Revenue Code. c Norfolk/Portsmouth, VA Renewal Communities Purpose of Form c Huntington, WV/Ironton, OH Parts of the following areas are renewal Use Form 8844 to claim the Washington, DC. Under section 1400, empowerment zone and renewal communities. You can find out if your parts of Washington, DC, are treated as business or an employee’s residence is community employment (EZRCE) credit. an empowerment zone. For details, use For tax years that include December 31, located within a renewal community by the RC/EZ/EC Address Locator at using the RC/EZ/EC Address Locator at 2008, the credit is: www.hud.gov/crlocator or see Notice www.hud.gov/crlocator or by calling c 20% of the employer’s qualified 98-57, on page 9 of Internal Revenue 1-800-998-9999. wages (up to $15,000) paid or incurred Bulletin 1998-47 at during calendar year 2008 on behalf of www.irs.gov/pub/irs-irbs/irb98-47.pdf. c Greene-Sumter County, AL c Mobile County, AL qualified empowerment zone employees Rural areas. Parts of the following rural plus areas are empowerment zones. You can c Southern Alabama c 15% of the employer’s qualified find out if your business or an c Los Angeles, CA wages (up to $10,000) paid or incurred employee’s residence is located within a c Orange Cove, CA during calendar year 2008 on behalf of rural empowerment zone by using the c Parlier, CA qualified renewal community employees. RC/EZ/EC Address Locator at c San Diego, CA www.hud.gov/crlocator or by calling The credit is a component of the general 1-800-998-9999. c San Francisco, CA business credit, and a special tax liability limit applies. The allowable credit is c Desert Communities, CA (part of c Atlanta, GA figured in Part II of Form 3800, General Riverside County) c Chicago, IL Business Credit. c Southwest Georgia United, GA (part of c Eastern Kentucky Crisp County and all of Dooly County) c Central Louisiana Empowerment Zones c Southernmost Illinois Delta, IL (parts c New Orleans, LA Urban areas. Parts of the following of Alexander and Johnson Counties and c Northern Louisiana all of Pulaski County) urban areas are empowerment zones. c Ouachita Parish, LA You can find out if your business or an c Kentucky Highlands, KY (part of c Lawrence, MA employee’s residence is located within Wayne County and all of Clinton and an urban empowerment zone by using Jackson Counties) c Lowell, MA the RC/EZ/EC Address Locator at c Aroostook County, ME (part of c Detroit, MI www.hud.gov/crlocator or by calling Aroostook County) c Flint, MI 1-800-998-9999. c Mid-Delta, MS (parts of Bolivar, c West Central Mississippi c Pulaski County, AR Holmes, Humphreys, Leflore, Sunflower, c Turtle Mountain Band of Chippewa, ND c Tucson, AZ and Washington Counties) c Camden, NJ c Fresno, CA c Griggs-Steele, ND (part of Griggs c Newark, NJ County and all of Steele County) c Los Angeles, CA (city and county) c Buffalo-Lackawanna, NY c Oglala Sioux Tribe, SD (parts of c Santa Ana, CA c Jamestown, NY Jackson and Bennett Counties and all of c New Haven, CT c Niagara Falls, NY Shannon County) c Jacksonville, FL c Rochester, NY c Middle Rio Grande FUTURO c Miami/Dade County, FL Communities, TX (parts of Dimmit, c Schenectady, NY c Chicago, IL Maverick, Uvalde, and Zavala Counties) c Hamilton, OH c Gary/Hammond/East Chicago, IN c Rio Grande Valley, TX (parts of c Youngstown, OH c Boston, MA Cameron, Hidalgo, Starr, and Willacy c Philadelphia, PA Counties) c Baltimore, MD c Charleston, SC Qualified empowerment zone c Detroit, MI c Chattanooga, TN employee. A qualified empowerment c Minneapolis, MN c Memphis, TN zone employee is any employee c St. Louis, MO/East St. Louis, IL (full-time or part-time) of the employer c Corpus Christi, TX c Cumberland County, NJ who: c El Paso County, TX c New York, NY c Performs substantially all of the c Burlington, VT c Syracuse, NY services for that employer within an c Tacoma, WA empowerment zone in the employer’s c Yonkers, NY c Yakima, WA trade or business and c Cincinnati, OH Milwaukee, WI c Has his or her principal residence c c Cleveland, OH within that empowerment zone while c Columbus, OH performing those services (employees c Oklahoma City, OK who work in the Washington, DC, c Philadelphia, PA/Camden, NJ empowerment zone may live anywhere c Columbia/Sumter, SC in the District of Columbia). Form 8844 (2008) Page 3 Qualified renewal community c Any individual employed by the Specific Instructions employee. A qualified renewal employer in a trade or business for community employee is any employee which the principal activity is farming Complete lines 1 and 2 to figure the (full-time or part-time) of the employer (see Note below), but only if at the close current year credit for your trade or who: of the tax year the sum of the following business. Skip lines 1 and 2 if you are c Performs substantially all of the amounts exceeds $500,000. only claiming a credit that was allocated services for that employer within a 1. The larger of the unadjusted bases to you from a pass-through entity. renewal community in the employer’s or fair market value of the farm assets Line 1a—Qualified Empowerment trade or business and owned by the employer. Zone Wages c Has his or her principal residence 2. The value of the farm assets leased Enter the total qualified empowerment within that renewal community while by the employer. zone wages paid or incurred during performing those services. calendar year 2008. The credit must be Note. Certain farming activities are See Qualified Employees below for a described in section 2032A(e)(5)(A) or (B). figured using only the wages that you list of persons who are not qualified paid or incurred in the calendar year that employees. Early termination of employee. ended with or within your tax year. For Generally, an individual is not a qualified Qualified Employees example, if your tax year began on April zone employee unless employed for at 1, 2008, and ended on March 31, 2009, Any person may be a qualified employee least 90 days. The 90-day requirement you must figure wages based on the except the following. does not apply in the following calendar year that began on January 1, c Any relative of the employer described situations. 2008, and ended on December 31, in sections 152(d)(2)(A) through c The employee is terminated because 2008. Wages paid after the end of the 152(d)(2)(G). of misconduct as determined under the calendar year may be used only to figure c A dependent of the employer applicable state unemployment the credit claimed on the following described in section 152(d)(2)(H). compensation law. year’s tax return. c If the employer is a corporation, any c The employee becomes disabled Qualified empowerment zone wages individual who bears any of the before the 90th day. However, if the are qualified wages paid or incurred by relationships described in sections disability ends before the 90th day, the an employer for services performed by 152(d)(2)(A) through 152(d)(2)(G), or is a employer must offer to reemploy the an employee while the employee is a dependent, as described in section former employee. qualified empowerment zone employee 152(d)(2)(H), of an individual who owns An employee is not treated as (defined earlier). The maximum wages (or is considered to own under section terminated if the corporate employer is that may be taken into account for each 267(c)) more than 50% in value of the acquired by another corporation under employee is limited to $15,000.