Claiming Energy efficient 45L tax credit under LLC

[nagojibabu21]

Hello,

we have new fourplex built and leased in 2021. we recently got 45L certification for this fourplex. i am trying to figure out, how to claim tax credits while filing Business (LLC) tax returns. my intent is to apply tax credits to LLC so that business partners get tax credit on K1's. appreciate your help. 

[MinhT1 · Accepted solution]

The Energy Efficient tax credit for contractors and builders is claimed on Form 8908.

TurboTax does not support form 8908. Please see this TurboTax Help topic.

To claim the credot, you have to manually fill form 8908, enter the amount of the credit on Schedule K of your form 1065. You'll have to print out your LLC return, attach form 8908 and file by mail.

[EKA1]

What is we are an Scorp? We understand we need to file the Form 8908 with our taxes, but does that form have an impact on the other forms we created in TurboTax? 

[Vanessa A]

Yes.  It will have an impact on your 1120-S (if you are an S-Corp) or your 1065 (If you are an LLC) as the numbers will be overstated since you will be missing the deduction in your income.  This would affect the K-1 as well.  It actually may affect other forms, it would just depend on what the forms are.  Most it shouldn't, but the ones it definitely would would be the main tax filing form and the K-1's.