CT-238: Claim for Rehabilitation of Historic Properties Credit (2024)
New York · NY DTF · Used for tax years 2024
Form CT-238 is used by corporations to claim New York’s rehabilitation of historic properties credit. It reports certified historic structure information, credit amounts earned or allocated from partnerships, and any applicable credit use, refund, carryforward, or recapture.
Who files this form
Form CT-238 is for corporations claiming the rehabilitation of historic properties credit, including corporate partners receiving a share of the credit from a partnership.
The form provides separate directions for C corporations and New York S corporations. File it with Form CT-3, CT-3-A, CT-3-S, CT-33, CT-33-A, or CT-33-NL.
What you'll need
Have the information needed for the parts that apply to your claim:
- Your corporation’s legal name, EIN, and tax period beginning and ending dates.
- For each certified historic structure: its address, project number, completion date, and qualified rehabilitation expenditures.
- Any unused rehabilitation credit carried over from previous tax years.
- For partnership credits: the partnership’s name, EIN, project number, and credit amount allocated to you.
- For Part 2: tax due before credits and tax credits claimed before this credit.
- For recapture: the federal recapture amount and the federal and New York credits originally allowed on the New York property.
Attach additional forms as necessary for property or partnership information.
How to file
File Form CT-238 with Form CT-3, CT-3-A, CT-3-S, CT-33, CT-33-A, or CT-33-NL. The supplied form does not provide a mailing address or e-file directions.
All filers must complete line A to indicate whether the corporation earned the credit directly rather than receiving it as a corporate partner.
- C corporations answering Yes: Complete Parts 1 and 2, plus Part 3 if applicable.
- C corporations claiming as corporate partners: Complete Part 1, lines 2 through 7, and Parts 2 and 4, plus Part 3 if applicable.
- New York S corporations answering Yes: Complete Part 1, lines 1 through 6.
- New York S corporations claiming as corporate partners: Complete Part 1, lines 2 through 6, and Part 4.
Enter any credit to be refunded from line 16 and any credit to be applied to next year’s tax from line 17 on your franchise tax return as directed.
Common mistakes
- Leaving required entries blank: All filers must enter the tax period and complete line A.
- Completing Part 2 as a New York S corporation: The form says New York S corporations do not complete this part.
- Omitting extra property or partnership entries: Attach additional forms as necessary.
- Entering a negative amount on line 12: If line 11 is greater than line 10, enter 0.
- Requesting too much on line 16: The credit to be refunded is limited to the amount on line 15.
- Rounding the recapture ratio incorrectly: Carry the result on line 21 to four decimal places.
Questions people ask
Can a corporate partner claim a credit allocated by a partnership?
Yes. Part 4 records the partnership information and allocated credit. Enter the total on line 24 and line 2.
Do New York S corporations complete Part 2?
No. The form specifically says New York S corporations do not complete Part 2.
Where do I report unused credit from earlier tax years?
Enter unused rehabilitation of historic properties credit carried over from previous tax years on line 4.
How does the form calculate the amount available for a refund or overpayment?
In Part 2, line 15 is the lesser of line 3 or line 14. Line 16 records the amount to be refunded, limited to line 15. Line 17 is line 15 minus line 16 and records the amount to apply to next year’s tax.
Where is credit recapture calculated?
Part 3 calculates recapture. Line 23 multiplies the New York credit originally allowed on line 22 by the ratio on line 21. Enter the result on both line 23 and line 6.