What types of machinery and equipment qualify for the credit?

"Qualifying machinery and equipment" means machinery and equipment required to be listed for property taxation on Schedule 2, Schedule 5, or Schedule 6 by a for-profit business required to file an income tax, privilege tax, or insurance company premiums tax credit.

Schedule 2 Property: Prescribed and/or itemized machinery and equipment used in mineral leasehold interests, including diesel engines, drilling rigs, electric motors, line piping, mud pumps, water injection pumps, oil separators, oil well tubing pumps, pumping jacks, service units, and tanks.

Schedule 5 Property: Commercial and industrial machinery and equipment, including cash registers, computers, construction equipment, fixtures, furniture, gas pumps, manufacturing equipment, medical equipment, signs, trailers and other tangible personal property used in a business.

Schedule 6 Property: All other business related tangible personal property not elsewhere classified, such as spare parts.

Items that do not qualify for the credit include motor vehicles, personal property owned by a public utility, and property not used for a business purpose.

Show All Answers

1. How much is the new income tax credit available to business machinery and equipment owners?
2. What types of machinery and equipment qualify for the credit?
3. What taxes qualify for the 1998 credit?
4. What taxes qualify in future years?
5. Who may take the credit?