Schedule CR: Credit Computation Schedule for Forms 760, 760PY, 763 and 765 (2024)
Virginia · Virginia Tax · Used for tax years 2024
Virginia Schedule CR is used to calculate tax credits claimed with your Virginia return. It reports allowable credit amounts, applicable limits, and carryovers from prior years or to the next year.
Who files this form
Use 2024 Virginia Schedule CR to calculate the credits listed on the schedule for Forms 760, 760PY, 763 and 765. If you claim these credits, enclose Schedule CR with your Virginia return.
The schedule includes both nonrefundable and refundable credits, as well as carryovers from earlier years where allowed.
What you'll need
When claiming an original credit, include the applicable enclosures listed on the form:
- Vehicle Emissions Testing Equipment Tax Credit: A copy of your Air Check Virginia Station Participation and Services Agreement or Northern Virginia Analyzer Equipment Certification.
- Foreign Source Retirement Income Tax Credit: A copy of the foreign tax return or other proof of income tax paid to the foreign country, plus a schedule showing the conversion of foreign currency to U.S. dollars.
- Waste Motor Oil Burning Equipment Tax Credit: Approved Form 50-12 from the Department of Environmental Quality, plus receipts, invoices or other documentation confirming the purchase price paid.
- Biodiesel and Green Diesel Fuels Tax Credit: The Virginia Department of Taxation certification letter authorizing the credit.
- Coalfield Employment Enhancement Tax Credit: Form 306D and additional pages, if applicable.
- Pass-Through Entity Elective Tax Payment Credit: Form 502 Schedule VK-1.
If you claim a credit carried forward from an earlier year, include a computation schedule.
How to file
Enclose Schedule CR with your Virginia return, along with the required credit documentation.
Add total nonrefundable credits from Section 2, Line 1A and total refundable credits from Section 4, Part 1, Line 1A. Enter the result in Section 5, Line 1A and on Line 25 of Form 760, 760PY or 763.
The supplied form does not give a mailing address or e-file directions.
Common mistakes
- Leaving out required enclosures: The form warns that missing enclosures may cause a credit to be disallowed. Computation schedules are required for carried-forward credits.
- Entering cents: Schedule CR calls for whole dollars only.
- Mixing up your credit and your spouse’s credit: Parts 11, 18 and 33 remind you to claim the proper credit on the total lines.
- Exceeding the overall nonrefundable credit limit: Section 2, Line 1A cannot exceed the maximum calculated in Section 1, Part 1, Line 1A.
Questions people ask
How is my maximum nonrefundable credit amount calculated?
Start with the total tax computed on your return. Subtract the Spouse Tax Adjustment, Credit for Low-Income Individuals or nonrefundable Virginia Earned Income Credit, and Credit for Tax Paid to Another State. Section 1, Part 1, Line 1A shows this maximum.
Can unused credits carry forward to another year?
Many listed credits allow carryovers, but the periods vary. For example, the Neighborhood Assistance Act Credit has a 5-year carryover period, the Recyclable Materials Processing Equipment Credit has a 10-year period, and the Worker Training Tax Credit has a 3-year period. Use the period shown for your credit and include a computation schedule.
Can I claim a new Enterprise Zone Act Credit on this schedule?
No. The form says only Enterprise Zone Real Property Investment Tax Credit carryovers from prior years are allowed. It directs you to the worksheet in the Schedule CR instructions to determine the amount usable this year.
Where do I enter the Pass-Through Entity Elective Tax Payment Credit?
Enter the credit amount from Form 502 Schedule VK-1 in Section 3, Part 6, Line 6A. Enclose Form 502 Schedule VK-1 with your return.