Worksheet PTE -- Credit Ratio Worksheet for Individuals claiming the Pine Tree D: Worksheet PTE -- Credit Ratio Worksheet for Individuals claiming the Pine Tree Development Zone Tax Credit (2025)

Maine · Maine Revenue Services · Used for tax years 2025

Maine Worksheet PTE calculates the Pine Tree Development Zone credit ratio for individuals, estates, or trusts for tax year 2025. It uses business income, Maine income modifications, and the business’s apportionment percentage to determine the ratio transferred to the separate Pi

Who files this form

An individual taxpayer claiming a Pine Tree Development Zone (PTDZ) tax credit from a sole proprietorship or a pass-through entity, such as a partnership or S corporation, must complete Worksheet PTE.

The 2025 worksheet is titled for individuals, estates, or trusts. It calculates the business-to-nonbusiness income ratio used to figure the credit on the separate PTDZ Tax Credit Worksheet.

What you'll need

  • Maine income tax return: Form 1040ME or Form 1041ME, for the income amounts used on lines 1 and 5.
  • Business income information: Federal Schedule C for a sole proprietor or Schedule K-1 for a member of a pass-through entity.
  • Maine income modification schedules: Form 1040ME, Schedules 1A and 1S, or Form 1041ME, Schedule 1, for modifications related to the qualified business.
  • The business's PTDZ apportionment percentage: As reported by the business entity.
  • The separate PTDZ Tax Credit Worksheet: Used to calculate the actual credit.
  • A copy of the business's PTDZ certificate: Issued by the Department of Economic and Community Development.

How to file

Transfer the credit ratio from Worksheet PTE, line 8, to the PTDZ Tax Credit Worksheet, line 7.

Attach all of the following to your Maine income tax return, Form 1040ME or Form 1041ME:

  • Completed Worksheet PTE.
  • The PTDZ Tax Credit Worksheet.
  • A copy of the business's PTDZ certificate issued by the Department of Economic and Community Development.

The worksheet does not provide a mailing address or e-file instructions.

Common mistakes

  • Leaving out required attachments: The form says to attach both Worksheet PTE and the PTDZ Tax Credit Worksheet, along with a copy of the business's PTDZ certificate, to the Maine income tax return.
  • Assuming no further supporting information will be needed: Maine Revenue Services may request additional information supporting the credit before the return can be processed.

Questions people ask

Does Worksheet PTE calculate my actual tax credit?

No. It calculates the business-to-nonbusiness income ratio and the member's PTDZ credit ratio. The separate PTDZ Tax Credit Worksheet calculates the actual credit.

Where do I find the business income for line 2?

Use the qualified PTDZ business's income from federal Schedule C if you are a sole proprietor, or Schedule K-1 if you are a member of a pass-through entity. Line 2 is for the business income included in line 1.

Can line 3 be negative?

Yes. The form states that Maine income modifications related to the PTDZ business may be a negative number.

How do I calculate the credit ratio?

Add lines 2 and 3 to get line 4. Divide line 4 by line 5 to get line 6. If that result is greater than 1, enter 1.0000. Multiply line 6 by the business's PTDZ apportionment percentage on line 7. Enter the result on line 8 and on the PTDZ Tax Credit Worksheet, line 7.

Official sources

All versions of Worksheet PTE -- Credit Ratio Worksheet for Individuals claiming the Pine Tree D