Form 8827 

Department of the Treasury 

Internal Revenue Service

Credit for Prior Year Minimum Tax—Corporations

© Attach to the corporation’s tax return.

OMB No. 1545-1257

2009

Name Employer identification number

1 Alternative minimum tax (AMT) for 2008. Enter the amount from line 14 of the 2008 Form 4626 1 

2 Minimum tax credit carryforward from 2008. Enter the amount from line 9 of the 2008 Form 8827 2 

3 Enter any 2008 unallowed qualified electric vehicle credit (see instructions) . . . . . . . 3 

4 Add lines 1, 2, and 3 . . . . . . . . . . . . . . . . . . . . . . . . . 4 

5 Enter the corporation’s 2009 regular income tax liability minus allowable tax credits (see 

instructions) . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 

6 Is the corporation a “small corporation” exempt from the AMT for 2009 (see instructions)?

● Yes. Enter 25% of the excess of line 5 over $25,000. If line 5 is $25,000 or less, enter -0-

● No. Complete Form 4626 for 2009 and enter the tentative minimum tax from line 12 . . . 6 

7 a Subtract line 6 from line 5. If zero or less, enter -0- . . . . . . . . . . . . . . . 7a 

b For a corporation electing to accelerate the minimum tax credit, enter the bonus depreciation

amount attributable to the minimum tax credit (see instructions) . . . . . . . . . . . 7b

c Add lines 7a and 7b . . . . . . . . . . . . . . . . . . . . . . . . . 7c 

8 a Enter the smaller of line 4 or line 7c. If the corporation had a post-1986 ownership change or 

has pre-acquisition excess credits, see instructions . . . . . . . . . . . . . . . 8a 

b Current year minimum tax credit. Enter the smaller of line 4 or line 7a here and on Form 1120, 

Schedule J, line 5d (or the applicable line of your return). If you made an entry on line 7b, go to 

line 8c. Otherwise, skip line 8c . . . . . . . . . . . . . . . . . . . . . . 8b

c Subtract line 8b from line 8a. This is the refundable amount for a corporation electing to 

accelerate the minimum tax credit. Include this amount on line 32g of Form 1120 (or the

applicable line of your return) . . . . . . . . . . . . . . . . . . . . . . 8c 

9 Minimum tax credit carryforward to 2010. Subtract line 8a from line 4. Keep a record of this

amount to carry forward and use in future years . . . . . . . . . . . . . . . . 9 

Instructions

Section references are to the Internal Revenue 

Code unless otherwise noted.

What’s New

The election to claim a refundable credit for 

certain unused minimum tax credits in lieu of 

the special depreciation allowance for 

qualified property has been extended to 

certain property placed in service in 2009 and 

2010. See the instructions for line 7b.

Purpose of Form

Corporations use Form 8827 to figure the 

minimum tax credit, if any, for AMT incurred in 

prior tax years and to figure any minimum tax 

credit carryforward.

Who Should File

Form 8827 should be filed by corporations 

that had:

● An AMT liability in 2008,

● A minimum tax credit carryforward from 

2008 to 2009, or

● A qualified electric vehicle credit not 

allowed for 2008 (see the instructions for line 

3).

Line 3

Enter any qualified electric vehicle credit not 

allowed for 2008 solely because of tentative 

minimum tax limitations.

Line 5

Enter the corporation’s 2009 regular income 

tax liability (as defined in section 26(b)) minus 

any credits allowed under Chapter 1, 

Subchapter A, Part IV, subparts B, D, E, and F 

of the Internal Revenue Code (for example, if 

you are filing Form 1120, subtract any credits 

on Schedule J, lines 5a through 5c, from the 

amount on Schedule J, line 2).

Line 6

See the 2009 Instructions for Form 4626 to 

find out if the corporation is treated as a 

“small corporation” exempt from the AMT for 

2009. If the corporation is a “small 

corporation” exempt from the AMT, see 

section 38(c)(5) before completing line 6 for 

special rules that apply to controlled 

corporate groups, regulated investment 

companies, and real estate investment trusts.

Line 7b

A corporation can elect (under section 168(k)

(4)) to accelerate its use of unused minimum 

tax credit carryforwards from tax years 

beginning before 2006 and obtain a 

refundable credit in lieu of any special 

depreciation allowance for eligible qualified 

property and extension property (defined 

later). If the election is made, the corporation 

must do the following. 

● Forgo the special depreciation allowance for 

the eligible property, and 

● Use the straight-line method of depreciation 

of such property.

If the corporation made an election to 

increase the research credit or minimum tax 

credit limitations for its first tax year ending 

after March 31, 2008, the corporation can 

choose not to have the election apply to 

extension property. Otherwise, the original 

election continues to apply to both eligible 

qualified property and extension property. In 

this case, separate bonus depreciation 

amounts, maximum increase amounts, and 

maximum amounts must be computed for 

eligible qualified property and for extension 

property. 

Note. If the corporation did not make the 

election for its first tax year ending after 

March 31, 2008, it can make the election only

for extension property for its first tax year 

ending after December 31, 2008.

Eligible qualified property. Generally, eligible 

qualified property is qualified property under 

section 168(k)(2) that is acquired after March 

31, 2008, and placed in service before 

January 1, 2009, and long production period 

property or certain aircraft (described in 

sections 168(k)(2)(B) and (C)) that is placed in 

service in 2009. If a binding contract to 

acquire the property existed before April 1, 

2008, the property does not qualify. See 

section 168(k)(4)(G)(iii) for special rules for 

written binding contracts involving certain 

passenger aircraft.

Cat. No. 13008K Form 8827 (2009)
Form 8827 (2009) Page 2 

Worksheet for Calculating the Refundable Minimum Tax Credit Amount (keep for your records)

1 Enter depreciation (including the special depreciation allowance) that would have been 

allowed for eligible qualified property or extension property, as appropriate, placed in 

service during the tax year if section 168(k)(1) had applied to such property . . . . . 1 

(a) 

Eligible qualified 

property

(b) 

Extension 

property

2 Enter depreciation for eligible qualified property or extension property, as appropriate, 

placed in service during the tax year figured without regard to section 168(k)(1) . . . . 2 

3 Subtract line 2 from line 1 . . . . . . . . . . . . . . . . . . . 3 

4 Multiply line 3 by 20% . . . . . . . . . . . . . . . . . . . . 4 

5 Enter any unused research credit carryforward from tax years beginning before 2006 5 

6 Enter any unused minimum tax credit carryforward from tax years beginning before 2006 6 

 7 Add line 5 and line 6 . . . . . . . . . . . . . . . . . . . . . 7 

8 Multiply line 7 by 6% . . . . . . . . . . . . . . . . . . . . . 8 

9 Enter the smaller of line 8 or $30,000,000 . . . . . . . . . . . . . . 9 

10 Enter any bonus depreciation amounts determined under section 168(k)(4)(C) 

attributable to eligible qualified property or extension property, as appropriate, for 

all preceding tax years ending after March 31, 2008 . . . . . . . . . . . 10 

11 Subtract line 10 from line 9. If zero or less, enter -0- . . . . . . . . . . . 11 

12 Bonus depreciation amount. Enter the smaller of line 4 or line 11 . . . . . . 12 

Note. If you do not have a research credit carryforward, or if you choose not to 

allocate bonus depreciation amounts to research credit carryforwards, skip lines 13 

and 14 and enter -0- on line 15.

13 Enter the amount from line 10 allocated to the research credit carryforward shown on line 5 13 

14 Maximum bonus depreciation amount allocable to the research credit. Subtract line 13 from line 5 14 

15 Refundable research credit. Enter the smaller of line 14 or the amount on line 12 

that you choose to allocate to the research credit . . . . . . . . . . . 15 

16 Subtract line 15 from line 12 . . . . . . . . . . . . . . . . . . 16 

17 Enter the amount from line 10 allocated to the minimum tax credit carryforward shown on line 6 17 

18 Maximum bonus depreciation amount allocable to the minimum tax credit. Subtract 

line 17 from line 6 . . . . . . . . . . . . . . . . . . . . . . 18 

19 Refundable minimum tax credit. Enter the smaller of line 18 or line 16 in appropriate 

columns. Enter the total of line 19, columns (a) and (b) on Form 8827, line 7b . . 19 

Extension property. Generally, extension 

property is qualified property (defined in 

section 168(k)(4)(H)(iii)) acquired after March 

31, 2008, and placed in service after 

December 31, 2008, and before January 1, 

2011. Long production period property and 

certain aircraft (described in sections 168(k)(2)

(B) and (C)) that is placed in service after 

December 31, 2009, and before January 1, 

2011, is extension property. 

If the corporation elects to accelerate the 

minimum tax credit and obtain a refundable 

credit in lieu of the special depreciation 

allowance, complete the Worksheet for 

Calculating the Refundable Minimum Tax 

Credit Amount above. Enter the total of line 

19, columns (a) and (b), on Form 8827, line 

7b. All others, enter zero on line 7b. 

For more information on the election to 

accelerate the research or minimum tax credit 

for eligible property, including information on 

how to make the elections, see Rev. Proc. 

2008-65, 2008-44 I.R.B. 1082, available at 

http://www.irs.gov/irb/2008-44_ IRB/

ar15.html; Rev. Proc. 2009-16, 2009-06 I.R.B. 

449, available at http://www.irs.gov/

irb/2009-06_IRB/ar10.html; and Rev. Proc. 

2009-33, 2009-29 I.R.B. 150, available at 

http://www.irs.gov/irb/2009-29_IRB/ar09.html.

For more information on the special 

depreciation allowance, see the Instructions 

for Form 4562 and Pub. 946, How To 

Depreciate Property.

S corporations that make the election to 

accelerate the credit can use the credit only 

against the built-in gains tax. See the 

instructions for Schedule D (Form 1120S), line 

20. Corporations that file Form 1120-REIT or 

Form 1120-RIC must apply the credit first 

against the built-in gains tax, if any, and 

reduce the refundable credit by the amount 

so applied. See the instructions for line h of 

the Built-in Gains Tax Worksheet in the 

separate instructions for those forms.

Line 8

If the corporation had a post-1986 ownership 

change (as defined in section 382(g)), there 

may be a limit on the amount of pre-change 

minimum tax credits that can be applied 

against the corporation’s tax for any tax year 

ending after the ownership change. See 

section 383 and the related regulations. To 

figure the amount of the pre-change credit, 

the corporation must allocate the credit for 

the change year between the pre-change 

period and the post-change period. The 

corporation must use the same method of 

allocation (ratable allocation or closing-of-thebooks) for purposes of sections 382 and 383. 

See Regulations section 1.382-6 for details.

Also, there may be a limit on the use of preacquisition excess credits of one corporation 

to offset the tax attributable to recognized 

built-in gains of another corporation. See 

section 384 for details.

If either limit applies, attach a computation 

of the minimum tax credit allowed. Enter that 

amount on line 8a. Write “Sec. 383” or “Sec. 

384” on the dotted line to the left of the line 

8a entry space.

Paperwork Reduction Act Notice. We ask 

for the information on this form to carry out 

the Internal Revenue laws of the United 

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information. We need it to ensure that you are 

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Generally, tax returns and return information 

are confidential, as required by section 6103.

The time needed to complete and file this 

form will vary depending on individual 

circumstances. The estimated average time 

is: Recordkeeping, 8 hr., 22 min., Learning 

about the law or the form, 1 hr., 27 min., 

Preparing and sending the form to the IRS, 

2 hr., 51 min.

If you have comments concerning the 

accuracy of this time estimate or suggestions 

for making this form simpler, we would be 

happy to hear from you. See the instructions 

for the tax return with which this form is filed.