N-344: Important Agricultural Land Qualified Agricultural Cost Tax Credit (Revision 2020)
Hawaii · Hawaii DoTax · Used for tax years 2024, 2025, 2026
Hawaii Form N-344 calculates the Important Agricultural Land Qualified Agricultural Cost Tax Credit using amounts certified by the Department of Agriculture and credits received from other entities. It also reports credit recapture and allocations to partners, shareholders, or be
Who files this form
Form N-344 is used to claim the Important Agricultural Land Qualified Agricultural Cost Tax Credit, including credits received through another entity.
The form includes entries for partners, S corporation shareholders, estate or trust beneficiaries, and patrons receiving a credit. Flow-through entities allocating the credit to partners, shareholders, or beneficiaries complete Part IV.
What you'll need
Have the following information and documents ready, as applicable:
- Your name as shown on your tax return and your SSN or FEIN.
- The Department of Agriculture credit certificate in Part I, completed by that department. It includes the land description, Tax Map Key, acreage, island, qualified costs allowed, credit year, and certified credit amount.
- Schedule K-1 from Form N-20, N-35, or N-40 if you received a credit as a partner, S corporation shareholder, or beneficiary.
- Federal Form 1099-PATR if you received a credit as a patron.
- The name and federal employer identification number of the entity providing a flow-through credit.
Entities allocating credits also need each recipient’s name, address, identifying number, and allocated credit amount. Attach additional sheets if needed.
How to file
Attach Form N-344 to Form N-11, N-15, N-20, N-30, N-35, N-40, or N-70NP, as applicable.
- In Part II, line 1, enter the certified credit from Part I, line 7. If you are claiming only a distributive share from a partnership, S corporation, estate, or trust, skip line 1 and begin on line 2.
- Enter any flow-through credit on line 2, check the applicable box, and provide the entity’s name and federal employer identification number.
- Add lines 1 and 2. Enter the total on line 3, rounded to the nearest dollar, and on the appropriate credit line of Schedule CR. Pass-through entities enter the amount on the appropriate lines of their tax return.
- Complete Part IV if allocating the credit to partners, shareholders, or beneficiaries.
The form does not provide a mailing address or e-filing directions.
Common mistakes
- Completing the credit certificate yourself. Part I is for the Department of Agriculture to complete only.
- Starting on Part II, line 1 when claiming only a distributive share. The form says to skip line 1 and begin on line 2 if your only credit is distributed from a partnership, S corporation, estate, or trust.
- Reporting allocation totals that do not match. Part IV, line 4 must equal Part IV, line 1.
Questions people ask
Who completes the credit certificate?
Only the Department of Agriculture completes Part I. The certificate includes the allowed costs and credit amount, along with the certifying officer’s signature and certification date.
Where do I report a credit received from another entity?
Use Part II, line 2. Partners, S corporation shareholders, and beneficiaries use the appropriate Schedule K-1. Patrons use federal Form 1099-PATR.
Should I round the total credit?
Yes. Round the total on Part II, line 3 to the nearest dollar.
What does the recapture section cover?
Part III asks for the taxable year for which a certified written statement was not submitted to the Department of Agriculture and the credit claimed for that year. It directs you to add that credit amount, rounded to the nearest dollar, to your tax liability for the year in which the recapture occurred.