SantinoD
Expert Alumni

Business & farm

The General Business Credit can only be applied to your tax liability. It is possible that you do not have a tax liability so the business credits can't be used in the current year so they will carry forward. This credit is considered a "nonrefundable credit" so it can only reduce your tax liability to $0, so before the credit is applied you are already at $0 tax liability, so the credit can't be used.