Worksheet for Corporations: Worksheet for Corporations (2025)
Maine · Maine Revenue Services · Used for tax years 2025
The 2025 Maine Dirigo Business Incentives Tax Credit Worksheet for Corporations calculates a corporation’s refundable and nonrefundable credit amounts, including any share received through a pass-through entity. It is enclosed with Form 1120ME.
Who files this form
A corporation must complete this worksheet to calculate its 2025 Dirigo Business Incentives Tax Credit if it:
- Is a qualified business, or
- Is a member of one or more pass-through entities that are qualified businesses.
Qualified businesses must be certified by the Maine Department of Economic and Community Development (DECD). The credit is available for qualified businesses engaged in qualified business activities in Maine that invest in eligible business property or qualified employee training programs.
A corporation claiming credit through pass-through entities must complete a separate worksheet for each entity.
What you'll need
Have the following information ready:
- The taxable corporation’s name and federal EIN.
- The qualified business’s name, EIN or SSN, and DECD certification number.
- The first tax year the corporation claimed, or could have claimed, the credit under that certification number.
- The qualified business’s total credit for tax year 2025.
Before this worksheet is completed, each qualified business must complete and file Schedules QB and QB-1 to report eligible investments, qualified training programs, and other required information.
If claiming credit through a pass-through entity, also have its name and tax ID, your pro rata share, and a copy of the federal Schedule K-1 issued to you. Enclose that Schedule K-1. The entity must provide its affiliated business ratio when applicable, along with any required notices about layoffs or property removed from service.
If you must calculate a corporate affiliated business ratio, you will need the relevant Maine net income and tax liability information from Form 1120ME.
How to file
Enclose the completed worksheet with Form 1120ME.
- Report the 2025 refundable credit from line 14 on Form 1120ME, Schedule C, line 2d.
- Report the 2025 nonrefundable credit from line 15 on Form 1120ME, Schedule C, line 1p.
- If completing multiple worksheets, add the line 14 amounts, but report no more than $500,000 on Schedule C, line 2d. Add the line 15 amounts, but report no more than $1,500,000 on Schedule C, line 1p.
- For a credit passed through to you, enclose a copy of the federal Schedule K-1 issued by the entity.
The supplied text does not give a mailing address or e-file instructions.
Common mistakes
- Entering amounts on lines 7 or 8. Both lines are reserved for future use and must be left blank.
- Completing lines 4 through 6 without reading the instructions. The worksheet specifically tells you to read the instructions first. The rules differ for qualified corporations in affiliated groups and credits passed through from affiliated entities.
- Leaving out Schedule K-1 for a pass-through credit. The worksheet reminds owners to enclose a copy issued by the pass-through entity.
Maine Revenue Services may request additional information supporting the credit before the return can be processed.
Questions people ask
How is the credit calculated?
The credit equals 5% or 10% of eligible capital investment placed in service in Maine, depending on the property’s location, plus $2,000 for each qualified employee who completes a qualified employee training program during the tax year. Other limitations apply.
How much of the credit can be refundable?
The annual credit is generally limited to $2,000,000, of which up to $500,000 may be refundable. The limits must be prorated among qualifying taxable corporations in an affiliated business group engaged in a unitary business, based on their tax liabilities.
What do I enter on line A?
Enter the corporation’s pro rata share if it is an owner or beneficiary of a qualified partnership, S corporation, estate, or trust. The instructions define the share for each entity type. Otherwise, enter 1.0000.
What if a partner and the qualified partnership use different tax years?
The partner must claim the credit in the partner’s tax year during which the partnership’s tax year generating the credit ends.