1. Generally. Subject to the provisions of subsection 2 and notwithstanding any contrary provisions of chapter 827, a certified applicant is allowed a credit equal to $3,000,000 for each calendar year, beginning with the 1999 calendar year, against $3,000,000 that otherwise would be required to be remitted to the State Tax Assessor on or after July 1st of each calendar year by the certified applicant pursuant to chapter 827 for state income taxes deducted and withheld from wages of qualified employees by the certified applicant. The credit taken with respect to withholding taxes not remitted must be reflected on the withholding returns submitted by the certified applicant pursuant to chapter 827 and constitutes a credit against the applicant’s liability for and obligation to remit the withholding tax against which the credit is taken.

[PL 1997, c. 449, §1 (NEW).]

Terms Used In Maine Revised Statutes Title 36 Sec. 6853

  • Certified applicant: means a qualified applicant that has received a certificate of approval from the commissioner pursuant to this chapter and does not participate in the Employment Tax Increment Financing Program established in section 6752 while receiving this credit. See Maine Revised Statutes Title 36 Sec. 6851
  • Employment: means , for each calendar year, the amount determined by adding the total number of qualified employees of a certified applicant on each of 6 consecutive measurement days of that calendar year as chosen by the certified applicant and then dividing that sum by 6. See Maine Revised Statutes Title 36 Sec. 6851
  • Exception year: means the first calendar year in which a certified applicant has employment of less than 5,000 if the total Maine income taxes deducted and withheld by the certified applicant from qualified employees for that year totals at least $6,000,000. See Maine Revised Statutes Title 36 Sec. 6851
  • Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
  • Person: means an individual, firm, partnership, association, society, club, corporation, financial institution, estate, trust, business trust, receiver, assignee or any other group or combination acting as a unit, the State or Federal Government or any political subdivision or agency of either government. See Maine Revised Statutes Title 36 Sec. 111
  • Qualified applicant: means an applicant for benefits under this chapter that satisfies each of the following tests. See Maine Revised Statutes Title 36 Sec. 6851
  • Qualified ship: means any new ship launched by a certified applicant during or after 1998:
A. See Maine Revised Statutes Title 36 Sec. 6851
  • Remainder: An interest in property that takes effect in the future at a specified time or after the occurrence of some event, such as the death of a life tenant.
  • Tax: means the total amount required to be paid, withheld and paid over or collected and paid over with respect to estimated or actual tax liability under this Title, any credit or reimbursement allowed or paid pursuant to this Title that is recoverable by the assessor and any amount assessed by the assessor pursuant to this Title, including any interest or penalties provided by law. See Maine Revised Statutes Title 36 Sec. 111
  • Year: means a calendar year, unless otherwise expressed. See Maine Revised Statutes Title 1 Sec. 72
  • 1-A. Calendar year 1999 credit. Notwithstanding subsection 1, the credit to be taken in calendar year 1999 may be taken in 2 parts. The first part is a credit against the first $1,000,000 that otherwise would be required to be remitted to the assessor on or after January 1, 1999. The remainder of the credit allowed for 1999 pursuant to this section and section 6856, if applicable, may not be taken until after July 1, 1999.

    [PL 1997, c. 449, §1 (NEW).]

    2. Limitations. The following are limitations on the credit allowed under subsection 1.
    A. A credit is not allowed for any calendar year beginning after the earlier of the following:

    (1) December 31, 2018; or
    (2) December 31st of the calendar year during which the certified applicant has launched its 30th qualified ship. [PL 1997, c. 449, §1 (NEW).]
    B. A credit is not allowed for a calendar year in which the qualified applicant has employment of less than 5,000 unless that calendar year is an exception year. Beginning January 1, 2003, a credit is not allowed for a calendar year in which the qualified applicant has employment of less than 3,500 unless that calendar year is an exception year. [PL 1997, c. 449, §1 (NEW).]
    C. Total credits under this section may not exceed $60,000,000 to any certified applicant or transferee. [PL 1997, c. 449, §1 (NEW).]

    [PL 1997, c. 449, §1 (NEW).]

    3. Effect on employee. Notwithstanding any contrary provisions of chapter 827, the amount of income tax deducted and withheld by a certified applicant from the wages of a person pursuant to chapter 827 in any calendar year is considered paid to the State Tax Assessor on behalf of the person from whom the income tax was withheld without regard to any credit taken by a certified applicant under this chapter, and that person is credited with having paid that amount of tax for the taxable year beginning in the calendar year without regard to any credit taken by a certified applicant under this chapter. If more than one taxable year begins in a calendar year, that person may claim that amount as a credit for the most recent taxable year.

    [PL 1997, c. 449, §1 (NEW).]

    SECTION HISTORY

    PL 1997, c. 449, §1 (NEW).