Texas Tax Code

§ 171.806 — CARRYFORWARD

TX § 171.806Title 2. STATE TAXATION · Part F. FRANCHISE TAX; CREDITS · Ch. 171. FRANCHISE TAX · Art. P. STRONG FAMILIES TAX CREDIT

Statute text

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(a)If a taxable entity is awarded a credit that exceeds the limitation under Section 171.805(a), the entity may carry the unused credit forward for not more than five consecutive reports.

(b)A carryforward is considered the remaining portion of a credit awarded to a taxable entity that cannot be claimed on a report because of the limitation under Section 171.805(a).

Legislative history

Added by Acts 2025, 89th Leg., R.S., Ch. 1149 (S.B. 2018), Sec. 1, eff. June 1, 2026.