OMB No. 1545-1257

Form 8827 Credit for Prior Year Minimum Tax—Corporations

Department of the Treasury

Internal Revenue Service

© Attach to the corporation’s tax return.

Name Employer identification number

1 Alternative minimum tax (AMT) for 2007. Enter the amount from line 14 of the 2007 Form 4626 1

2 Minimum tax credit carryforward from 2007. Enter the amount from line 9 of the 2007 Form 8827 2

3 Enter any 2007 unallowed qualified electric vehicle credit (see instructions) 3

4 Add lines 1, 2, and 3 4

5

5 Enter the corporation’s 2008 regular income tax liability minus allowable tax credits (see

instructions)

6

6 Is the corporation a “small corporation” exempt from the AMT for 2008 (see instructions)?

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

8a 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

9 Minimum tax credit carryforward to 2009. Subtract line 8a from line 4. Keep a record of this

amount to carry forward and use in future years 9

Section references are to the Internal

Revenue Code unless otherwise noted.

Line 5

Who Should File

Form 8827 should be filed by

corporations that had:

● An AMT liability in 2007,

● A minimum tax credit carryforward

from 2007 to 2008, or

● A qualified electric vehicle credit not

allowed for 2007 (see the instructions 

for line 3).

Line 3

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.

Enter the corporation’s 2008 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).

Enter any qualified electric vehicle credit

not allowed for 2007 solely because of

the tentative minimum tax limitations

under section 30(b)(3)(B).

● 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 2008 and enter the tentative minimum tax from line 12

Line 6

See the 2008 Instructions for Form 4626

to find out if the corporation is treated

as a “small corporation” exempt from

the AMT for 2008. 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.

Instructions

2008

7b

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

amount attributable to the minimum tax credit (see instructions)

c Add lines 7a and 7b

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

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)

7c

8b

8c

For its first tax year ending after March

31, 2008, a corporation can elect to

claim a refundable credit for certain

unused minimum tax credits in lieu of

the special depreciation allowance for

eligible qualified property. See the

instructions for line 7b below.

What’s New

The corporation can elect to accelerate

its use of unused credit for prior year

minimum tax carryforwards from tax

years beginning before 2006 and obtain a

refundable credit instead of claiming any

special depreciation allowance for eligible

qualified property. Eligible qualified

property generally is qualified property

under section 168(k)(2) that is acquired

after March 31, 2008, and placed in

service generally before January 1, 2009.

The amount of unused minimum tax

Line 7b

For more information see section

168(k)(4). Also, see Rev. Proc. 2008-65,

2008-44 I.R.B. 1082. For more

information on the special depreciation

allowance, see the Instructions for Form

4562 and Pub. 946, How To Depreciate

Property.

credit that can be claimed is limited to

the bonus depreciation amount

computed for the tax year.

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.

If the corporation elects to accelerate

the minimum tax credit, complete the

Worksheet for Calculating the

Refundable Minimum Tax Credit Amount

on page 2. Enter the amount from line

19 of the worksheet on line 7b. All

others should enter zero on line 7b.
Form 8827 (2008) Page 2

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

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

for eligible qualified property placed in service during the tax year if section 168(k)(1) had applied 

to such property

1

2 Enter depreciation for eligible qualified property placed in service during the tax year figured

without regard to section 168(k)(1)

3 Subtract line 2 from line 1

4 Multiply line 3 by 20%

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

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

7 Add line 5 and line 6

8 Multiply line 7 by 6%

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

Enter any bonus depreciation amounts determined under section 168(k)(4)(C) for all preceding

tax years ending after March 31, 2008

10

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

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

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

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

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 

16 Subtract line 15 from line 12

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

Maximum bonus depreciation amount allocable to the minimum tax credit. Subtract line 17 from 

line 6

18

Refundable minimum tax credit. Enter the smaller of line 18 or line 16 here and on Form 8827,

line 7b

19

Also, there may be a limit on the use

of pre-acquisition excess credits of one

corporation to offset the tax attributable

to recognized built-in gains of another

corporation. See section 384 for details.

Paperwork Reduction Act Notice. We

ask for the information on this form to

carry out the Internal Revenue laws of

the United States. You are required to

give us the information. We need it to

ensure that you are complying with

these laws and to allow us to figure and

collect the right amount of tax.

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.

You are not required to provide the

information requested on a form that is

subject to the Paperwork Reduction Act

unless the form displays a valid OMB

control number. Books or records

relating to a form or its instructions must

be retained as long as their contents

may become material in the

administration of any Internal Revenue

law. Generally, tax returns and return

information are confidential, as required

by section 6103.

1

2

3

4

5

6

7

10

13

8

9

11

12

14

15

16

17

18

19

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-the-books) for

purposes of sections 382 and 383. See

Regulations section 1.382-6 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.