564: 2024 Form 564 Credit for Employees in the Aerospace Sector (2024)
Oklahoma · Oklahoma Tax Commission · Used for tax years 2024
Oklahoma Form 564 calculates the Credit for Employees in the Aerospace Sector for 2024. It records qualified employer information, engineering education or professional license details, and the current-year credit plus unused credits carried over from prior years.
Who files this form
Form 564 is used to claim Oklahoma’s Credit for Employees in the Aerospace Sector for tax year 2024, including unused credit carried over from earlier years.
To qualify, you must work in Oklahoma for, or contract in Oklahoma with, a qualified employer on or after January 1, 2009. The employer’s principal business activity must involve the aerospace sector.
The form’s general requirements include:
- An undergraduate or graduate degree from a qualified engineering program. The definition also includes individuals licensed as Professional Engineers by the Oklahoma State Board of Licensure for Professional Engineers and Land Surveyors, effective November 1, 2021.
- No employment in Oklahoma’s aerospace sector immediately before employment or contracting with the qualified employer, subject to the exceptions below.
The definition does not exclude someone who worked in the aerospace sector, but not as a full-time engineer, before receiving a qualifying degree. It also covers qualifying degree holders employed by a professional staffing company and assigned to aerospace work in Oklahoma.
Beginning on or after January 1, 2024, changing qualified employers does not exclude someone who previously qualified and established the credit, provided they have not claimed the credit for the lifetime maximum of five years. Those years may be nonconsecutive.
What you'll need
Have the following information ready:
- Your name as shown on your return and Social Security number.
- Your qualified employer’s name, Federal Employer Identification Number (FEIN), and your Oklahoma employment dates.
- Your college or university’s name and location, graduation date, qualified program name, and degree level.
- Your Oklahoma Professional Engineer license number, if applicable.
- Any unused credits from prior years and the tax years when those credits were originally established.
If this is your first year claiming the credit, the form instructs you to provide proof of your engineering degree, such as a copy of your diploma and/or transcript.
Common mistakes
- Leaving out first-year degree proof. The form instructs first-time claimants to provide proof of their engineering degree, such as a diploma and/or transcript.
- Overlooking accreditation at graduation. The undergraduate and/or graduate program in the same engineering discipline at the institution must have been ABET accredited on the date you graduated.
- Treating carryovers as available indefinitely. Unused credits may be carried over, in order, for up to five years from the date the credit was originally established. Enter the original tax year or years on line 2 and complete Form 564 for each carryover year.
- Assuming a change of employer starts a new five-year allowance. The form’s employer-change provision retains the lifetime maximum of five years of credit claims.
Questions people ask
How much is the credit for 2024?
A qualified employee enters $5,000 on line 1. Add unused carryover credits on line 2, then enter the total on line 3 and on Form 511-CR.
What if my available credit is more than my tax?
You may carry over the unused amount for up to five years from the date the credit was originally established. Complete Form 564 for each carryover year.
Can I claim the credit after changing qualified employers?
Beginning on or after January 1, 2024, the definition does not exclude someone who established the credit and moves to a different qualified employer, as long as they have not reached the lifetime maximum of five years. The credit may be claimed in nonconsecutive tax years.
Must both the undergraduate and graduate engineering programs be ABET accredited?
Effective November 1, 2021, the qualified-program definition includes both programs in the same engineering discipline at an institution if either program is ABET accredited. The form requires the applicable accreditation to have been in place when you graduated.