CT-1120 FCIC: Fixed Capital Investment Credit (2025)
Connecticut · Connecticut DRS · Used for tax years 2025
Form CT-1120 FCIC is used to claim Connecticut’s Fixed Capital Investment Tax Credit for 2025. It calculates a 5% credit on qualifying fixed capital investment expenditures not applied toward another Corporation Business Tax credit, and tracks credit carryforwards and amounts tha
Who files this form
Use Form CT-1120 FCIC to claim Connecticut’s Fixed Capital Investment Tax Credit. The form describes eligible taxpayers as corporations or qualifying LLCs.
Qualifying fixed capital must be tangible personal property that:
- Has a class life of more than four years under IRC § 168(e).
- Is purchased from someone other than a related person.
- Is not acquired for leasing and is not leased to another person during the 12 months after acquisition.
- Will be held and used in Connecticut in the ordinary course of the taxpayer’s Connecticut trade or business for at least five full years after acquisition.
Inventory, land, buildings or structures, and mobile transportation property do not qualify.
What you'll need
Attach a detailed schedule identifying:
- The fixed capital acquired.
- Its acquisition date and cost.
- Its class life.
- Where it is used in Connecticut.
- From whom it was acquired.
You will also need the eligible taxpayer’s name, Connecticut Tax Registration Number, and income-year beginning and ending dates.
If completing the carryforward calculation, have the credit amounts earned and applied for the corresponding years listed in Part II. If reporting recapture, attach detailed schedules for the amounts entered on Part III, Lines 1 and 3.
Common mistakes
- Using the wrong year’s form. Each form is year specific. Use the 2025 form for the 2025 income year.
- Using the wrong ink or adding staples. Complete the form in blue or black ink only. Do not use staples.
- Leaving out the required schedule. The form must include a detailed schedule describing the fixed capital acquired.
- Claiming the same expenditures for another credit. Expenditures claimed for this credit cannot also be claimed for another Corporation Business Tax credit.
- Overlooking shared credits. Members included in the 2025 Form CT-1120CU must include in Part II, Column D credits shared to and used by another member of the combined group.
Questions people ask
How is the 2025 credit calculated?
Enter fixed capital investment expenditures made during the 2025 income year on Part I, Line 1. Subtract expenditures applied against another Corporation Business Tax credit. Multiply the remaining amount by 5%, and enter the credit on Part I, Line 4 and Form CT-1120K, Part I-C, Column B.
Can the credit be carried forward?
Yes. The credit may be carried forward to five succeeding income years. Part II calculates the credit applied to 2025 and the carryforward to 2026.
Do trucks or forklifts qualify?
No. The form excludes mobile transportation property, including trucks, buses, forklifts, snowplows, and certain construction equipment such as backhoes, bulldozers, cement mixers, and loaders.
Can equipment acquired for leasing qualify?
No. Qualifying fixed capital must not be acquired to be leased and must not be leased to another person during the 12 months following acquisition.