CT-1120 TIC-EZ: Manufacturing Facility Credit for Facilities Located in a Targeted Investment Community/Enterprise Zone (2025)

Who files this form

Corporations use Form CT-1120 TIC/EZ to claim the manufacturing facility tax credit against Connecticut Corporation Business Tax. The facility must have certification from the Department of Economic and Community Development (DECD).

• 25% credit: Available for qualifying manufacturing facilities in a Targeted Investment Community. Facilities in areas with Enterprise Zone level benefits that do not meet the employment criteria for the 50% credit qualify for the 25% credit.
• 50% credit: Available for qualifying facilities in an Enterprise Zone or an area with Enterprise Zone level benefits that meet the employment criteria. Certain biotechnology, pharmaceutical, or photonics research businesses may also qualify under the location rules.

For the 50% credit, the corporation must establish that at least 150 full-time employees or 30% of the full-time positions directly attributable to the facility were held by qualifying local residents, as described on the form.

This credit is being phased out. You may not claim it unless your ten-year credit period began before your 2018 income year.

What you'll need

Have the following information available to complete the form:

• Corporation name, Connecticut Tax Registration Number, income-year beginning and ending dates, and DECD eligibility certificate number, if applicable.
• Facility location and business activity information for Schedule A.
• If completing Schedule B, the average number of full-time positions during the last quarter of the current income year, the employee count before initial hiring, and the number of qualifying local employees. Initial hiring is based on the start date established with DECD.
• Property values, gross rents, and wages, salaries, and other compensation for the eligible facility and for all Connecticut facilities, as required by Schedule C.
• Total tax from Form CT-1120, Schedule C, Line 1, or the credit claimant’s appropriate column on Form CT-1120CU, Part I, Line 9.
• Form CT-1120K, where the calculated credit is entered in Part I-B, Column A.

Common mistakes

• Using the wrong year’s form: Each form is year-specific. Use the 2025 form for the applicable 2025 income year.
• Ignoring preparation instructions: Complete the form in blue or black ink only. Do not use staples.
• Claiming the credit outside the allowed period: The credit is limited to ten years, and the credit period must have begun before your 2018 income year.
• Completing Schedule B when the location criteria are not met: Skip Schedule B and continue to Schedule C using the 25% credit rate.
• Continuing through Schedule B after a zero or negative Line 3 result: Do not continue to Lines 5 through 7. Enter 25% on Schedule C, Line 7.

Questions people ask

How long can the credit be claimed?

The credit period begins with the first full income year after the year the eligibility certificate was issued and continues for the following nine income years. The maximum is ten years. The period must have begun before your 2018 income year.

Is the credit 25% or 50% of the corporation’s entire Connecticut tax?

No. The percentage applies to the portion of Connecticut Corporation Business Tax allocated to the eligible facility. Schedule C calculates the facility ratio and uses it to determine the credit.

What if the facility does not meet the employment criteria for the 50% credit?

A qualifying facility in an area with Enterprise Zone level benefits may receive the 25% credit instead. DECD certification is still required.

How is rented property valued for Schedule C?

The form directs you to multiply gross rents payable during the income year by eight when valuing rented property, machinery, and equipment for the calculation.

Where do I enter the calculated credit?

Enter it on Schedule C, Line 8, and on Form CT-1120K, Part I-B, Column A.

Official sources

• https://portal.ct.gov/-/media/drs/forms/2025/corp/ct-1120-tic-ez_1225.pdf