IT-CR: Georgia Nonresident Composite Tax Return (2024)
Georgia · Georgia DOR · Used for tax years 2024
Georgia Form IT-CR is the 2024 nonresident composite tax return for partners and shareholders. It reports tax on Georgia taxable income, credits, payments, withholding, and any balance due or overpayment, with a schedule for credit usage and carryover.
Who files this form
A partnership, S corporation or limited liability company may file Form IT-CR as an alternative to withholding for nonresident partners, shareholders or members. Permission is not required.
Generally, only nonresidents who are not otherwise required to file a return may be included. An individual may be included even if otherwise required to file a return, provided the individual uses option 1.
What you'll need
Have these records and attachments ready:
- Entity information: Legal name, federal employer identification number, business address, NAICS code and Georgia nonresident withholding number, if applicable.
- Your own tax computation schedule: Show the tax calculation for each included member. Include each nonresident partner’s or shareholder’s name, identification number, Georgia income, marital status and tax due. Also list nonresident partners or shareholders not included, along with their identification numbers.
- Option 2 information, if used: Each individual’s share of total partnership or S corporation income and dependent information needed to calculate the apportioned deductions and exemptions.
- Payment and withholding records: Estimated payments, extension payments, prior-year carryforward and withholding credits from G2-A, G2-RP or G2-LP.
- Credit information, if applicable: Schedules 2 and/or 2B, credit codes, company names, identification numbers and applicable Department of Revenue credit certificate numbers. Include additional credit documentation where required.
- Extension documentation, if applicable: The federal approval form when relying on a federal extension.
How to file
- Complete the entity information and attach your member-by-member tax computation schedule.
- Enter the tax, credits, interest, penalties and payments on Schedule 1. Round amounts to the nearest dollar.
- Complete the applicable credit schedules and sign the return.
Mail the return to:
Georgia Department of Revenue
Processing Center
P.O. Box 740320
Atlanta, GA 30374-0320
The CR PV payment voucher lists a separate mailing address:
Georgia Department of Revenue
Processing Center
PO Box 740240
Atlanta, GA 30374-0240
Do not staple the payment voucher, and remove all check stubs.
Electronic estimated payments: Composite estimate taxpayers with quarterly payments of $10,000 or more must pay electronically through the Georgia Tax Center (GTC). A 10% penalty applies if the payment is not submitted electronically on GTC.
Amended returns: Use Form IT-CR and check the amended return box at the top.
Common mistakes
- Trying to change an option after filing. The option 1 or option 2 election is made each year and cannot be changed once the return is filed.
- Missing the composite-return checkbox. When filing the partnership or S corporation return, check the box indicating that a nonresident composite return is being filed.
- Allocating credits incorrectly. Do not allocate tax credits on the partnership or S corporation return to partners included in the composite return whose share of taxes will be claimed there. Doing so will cause the credit to be denied if claimed on the composite return.
- Skipping credit carryover schedules. Complete a separate schedule for each credit code, including credits eligible for carryover even if unused this year. Reduce next year’s carryover by any expired amounts.
- Treating a purchased Timber Tax Credit as refundable. Use Schedule 2, not Schedule 2B, for a purchased Timber Tax Credit.
- Treating a filing extension as extra time to pay. Any tax due should be paid on Form IT-560C by the statutory due date, not the extended filing due date.
Questions people ask
What is the difference between option 1 and option 2 for 2024?
Option 1 applies a 5.39% tax rate to Georgia income and does not allow adjustments such as self-employed health insurance, Keogh or SEP adjustments. Option 2 allows the standard deduction and dependent exemption to be prorated using the individual’s share of Georgia income compared with their share of total partnership or S corporation income.
Can different members use different options?
Yes. Individuals may choose option 1 or option 2 on a member-by-member basis. The election is made annually and cannot be changed after filing.
Are estimated payments required?
Estimates are required if the composite tax exceeds $500 for the year. Use Form IT-CR UET to compute the underestimated tax penalty. If the entity qualifies for an exception, check the UET Penalty Exception box and enter the adjusted penalty on line 5a.
What can I do with an overpayment?
Schedule 1 provides a line for the amount credited to estimated tax and a separate line for the amount to be refunded.
Can a composite return loss be carried back?
No. Losses on a composite return cannot be carried back.