4

TLS, have you I.R.S. SPECIFICATIONS TO BE REMOVED BEFORE PRINTING

transmitted all R Action Date Signature
text files for this INSTRUCTIONS TO PRINTERS
cycle update? FORM 8882, PAGE 1 of 4
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Form 8882 Credit for Employer-Provided Childcare

OMB No. 1545-1809

Department of the Treasury

Facilities and Services 2005
Attachment
Internal Revenue Service 䊳 Attach to your tax return. Sequence No.131
Name(s) shown on return Identifying number

Part I Current Year Credit (Members of controlled groups or businesses under common control, see instructions.)

1 Qualified childcare facility expenditures paid or incurred (see

instructions) 1
2 Enter 25% (.25) of line 1 2
3 Qualified childcare resource and referral expenditures paid or incurred 3
4 Enter 10% (.10) of line 3 4
5 Form 8882 credits from pass-through entities (if more than one entity, see instructions):
If you are a— Then enter the total of the current year credits from—

其
a Shareholder Schedule K-1 (Form 1120S), box 13, code F, G, or U
b Partner Schedule K-1 (Form 1065), box 15, code F, G, or U 5
c Beneficiary Schedule K-1 (Form 1041), box 13, code N EIN of pass-through entity

6 Add lines 2, 4, and 5 6

7 Current year credit. Enter the smaller of line 6 or $150,000 (S corporations, partnerships,
estates, and trusts, see instructions) 7

Part II Allowable Credit (See Who must file Form 3800 to find out if you complete Part II or file Form 3800.)

其
8 Regular tax before credits:
● Individuals. Enter the amount from Form 1040, line 44
● Corporations. Enter the amount from Form 1120, Schedule J, line 3; Form 1120-A,
Part I, line 1; or the applicable line of your return 8
● Estates and trusts. Enter the sum of the amounts from Form 1041, Schedule G, lines 1a
and 1b, or the amount from the applicable line of your return
9 Alternative minimum tax:

其
● Individuals. Enter the amount from Form 6251, line 35
● Corporations. Enter the amount from Form 4626, line 14 9
● Estates and trusts. Enter the amount from Form 1041, Schedule I, line 56
10 Add lines 8 and 9 10
11a Foreign tax credit 11a
b Credits from Form 1040, lines 48 through 54 11b
c Possessions tax credit (Form 5735, line 17 or 27) 11c
d Nonconventional source fuel credit (Form 8907, line 23) 11d
e Other specified credits (see instructions) 11e
f Add lines 11a through 11e 11f
12 Net income tax. Subtract line 11f from line 10. If zero, skip lines 13 through 16 and enter -0- on
line 17 12
13 Net regular tax. Subtract line 11f from line 8. If zero or less, enter -0- 13
14 Enter 25% (.25) of the excess, if any, of line 13 over $25,000 (see
instructions) 14

其
15 Tentative minimum tax (see instructions):
● Individuals. Enter the amount from Form 6251, line 33
● Corporations. Enter the amount from Form 4626, line 12
● Estates and trusts. Enter the amount from Form 1041, 15
Schedule I, line 54
16 Enter the greater of line 14 or line 15 16
17 Subtract line 16 from line 12. If zero or less, enter -0- 17
18 Credit allowed for the current year. Enter the smaller of line 7 or line 17 here and on Form
1040, line 55; Form 1120, Schedule J, line 6d; Form 1120-A, Part I, line 2; Form 1041, Schedule
G, line 2c; or the applicable line of your return. If line 17 is smaller than line 7, see instructions 18
For Paperwork Reduction Act Notice, see instructions. Cat. No. 33436Y Form 8882 (2005)
 4
I.R.S. SPECIFICATIONS TO BE REMOVED BEFORE PRINTING
INSTRUCTIONS TO PRINTERS
FORM 8882, PAGE 2 of 4
MARGINS: TOP 13mm (1⁄2 "), CENTER SIDES. PRINTS: HEAD TO HEAD
PAPER: WHITE WRITING, SUB. 20. INK: BLACK
FLAT SIZE: 432mm (17") x 279mm (11") FOLD TO: 216mm (81⁄2 ") x 279mm (11")
PERFORATE: ON FOLD
DO NOT PRINT — DO NOT PRINT — DO NOT PRINT — DO NOT PRINT

Form 8882 (2005) Page 2

General Instructions Note. For credits entered on line 5, only the pass-through
entity is required to make this reduction.
Section references are to the Internal Revenue Code.
Recapture of Credit
Purpose of Form You may have to recapture part or all of the credit if, before
Employers use Form 8882 to claim the credit for qualified the 10th tax year after the tax year in which your qualified
childcare facility and resource and referral expenditures. The childcare facility is placed in service, the facility ceases to
credit is part of the general business credit. You may claim operate as a qualified childcare facility or there is a change in
the credit any time within 3 years from the due date of your ownership of the facility. However, a change in ownership will
return on either an original or amended return. not require recapture if the person acquiring the interest in
the facility agrees, in writing, to assume the recapture liability.
How To Figure the Credit See section 45F(d) for details.
The credit is 25% of the qualified childcare facility Any recapture tax is reported on the line of your tax return
expenditures plus 10% of the qualified childcare resource where other recapture taxes are reported (or, if no such line,
and referral expenditures paid or incurred during the tax year. on the “total tax” line). The recapture tax may not be used in
The credit is limited to $150,000 per tax year. figuring the amount of any credit or in figuring the alternative
Qualified childcare expenditures are amounts paid or minimum tax.
incurred:
● To acquire, construct, rehabilitate, or expand property that:
Controlled Groups
1. Is to be used as part of a qualified childcare facility of All members of a controlled group of corporations (within the
the taxpayer, meaning of section 52(a)) and all partnerships, corporations,
unincorporated businesses, and other persons under
2. Is depreciable (or amortizable) property, and
common control (within the meaning of section 52(b)) are
3. Is not part of the principal residence of the taxpayer or treated as one person for purposes of the credit. The group
any employee of the taxpayer; member who would have the largest credit if this rule did not
● For the operating expenses of a qualified childcare facility apply completes Form 8882, Part I, figures the group credit
of the taxpayer, including expenses for training of employees, on line 7, and skips Part II. On separate Forms 8882, each
scholarship programs, and providing increased compensation member (including the member who completed the group
to employees with higher levels of childcare training; or Form 8882) skips lines 1 through 6 and enters its share of
● Under a contract with a qualified childcare facility to the group credit on line 7. Each member then completes Part
provide childcare services to employees of the taxpayer. II on its separate form (or Form 3800, if required). Each
Note. Any expenses for childcare included in qualified member also must attach a statement showing how the
childcare facility expenditures may not exceed the fair market group credit was divided among all members. The members
value of such care. share the credit on line 2 in the same proportion that they
contributed qualified childcare facility expenditures and share
A qualified childcare facility is a facility that meets the the credit on line 4 in the same proportion that they
requirements of all applicable laws and regulations of the contributed qualified resource and referral expenditures.
state or local government in which it is located, including the
licensing of the facility as a childcare facility. The following Additional Information
conditions must also be met.
For more details, see section 45F.
● The principal use of the facility must be to provide
childcare (unless the facility is also the personal residence of Specific Instructions
the person operating the facility).
● Enrollment in the facility must be open to employees of the Part I
taxpayer during the tax year.
● If the facility is the principal trade or business of the Current Year Credit
taxpayer, at least 30% of the enrollees of the facility must be Figure the credit for expenditures you paid on lines 1 through
dependents of employees of the taxpayer. 4. Do not complete lines 1 through 4 for credits allocated to
● The use of the facility (or the eligibility to use the facility) you from S corporations, partnerships, estates, or trusts;
must not discriminate in favor of highly compensated instead, complete line 5.
employees.
Line 1
Qualified childcare resource and referral expenditures
Enter your qualified childcare facility expenditures (defined
are amounts paid or incurred under a contract to provide
above) paid or incurred during the tax year.
childcare resource and referral services to employees of the
taxpayer. The provision of the services (or the eligibility to Line 3
use the services) must not discriminate in favor of highly Enter your qualified childcare resource and referral
compensated employees. expenditures (defined above) paid or incurred during the tax
year.
No Double Benefit Allowed
You must reduce: Line 5
● The basis of any qualified childcare facility by the amount Enter the amount of credit that was allocated to you as a
of the credit on line 7 allocable to capital expenditures partner, shareholder, or beneficiary. Also enter the employer
related to the facility, identification number (EIN) of the pass-through entity. If you
● Any otherwise allowable deductions used to figure the received a credit from more than one pass-through entity,
credit by the amount of the credit on line 7 allocable to those write “see attached” in the entry space for the EIN, and
deductions, and attach a statement showing the EIN and credit amount for
each pass-through entity.
● Any expenditures used to figure any other credit by the
amount of the credit on line 7 allocable to those expenditures
(for purposes of figuring the other credit).
 4
I.R.S. SPECIFICATIONS TO BE REMOVED BEFORE PRINTING
INSTRUCTIONS TO PRINTERS
FORM 8861, PAGE 3 of 4 (page 4 is blank)
MARGINS: TOP 13mm (1⁄2 "), CENTER SIDES. PRINTS: HEAD TO HEAD
PAPER: WHITE WRITING, SUB. 20. INK: BLACK
FLAT SIZE: 432mm (17") x 279mm (11") FOLD TO: 216mm (81⁄2 ") x 279mm (11")
PERFORATE: ON FOLD
DO NOT PRINT — DO NOT PRINT — DO NOT PRINT — DO NOT PRINT

Form 8882 (2005) Page 3

Line 7 from the AMT under section 55(e), enter zero. Otherwise,
S corporations and partnerships. Allocate the credit on line complete and attach the applicable AMT form or schedule.
7 among the shareholders and partners. Attach Form 8882 Line 18
to the return and on Schedule K-1 show the credit for each
shareholder or partner. Electing large partnerships must If you cannot use all of your credit because of the tax liability
include this credit in “general credits.” limit (line 17 is smaller than line 7), carry the unused credit
back 1 year then forward up to 20 years. See the instructions
Estates and trusts. The credit on line 7 is allocated between for Form 3800 for details.
the estate or trust and the beneficiaries in proportion to the
income allocable to each. On the dotted line next to line 7, the
estate or trust should enter its part of the total credit. Label it Paperwork Reduction Act Notice. We ask for the
“1041 Portion” and use this amount in Part II (or Form 3800, if information on this form to carry out the Internal Revenue
required) to figure the credit to claim on Form 1041. laws of the United States. You are required to give us the
information. We need it to ensure that you are complying
Part II with these laws and to allow us to figure and collect the right
amount of tax.
Allowable Credit You are not required to provide the information requested
The credit allowed for the current year may be limited based on a form that is subject to the Paperwork Reduction Act
on your tax liability. Use Part II to figure the allowable credit unless the form displays a valid OMB control number. Books
unless you must file Form 3800, General Business Credit. or records relating to a form or its instructions must be
Who must file Form 3800. You must file Form 3800 if you retained as long as their contents may become material in
have: the administration of any Internal Revenue law. Generally, tax
returns and return information are confidential, as required by
● A credit for employer-provided childcare facilities and
section 6103.
services from a passive activity,
The time needed to complete and file this form will vary
● More than one credit included in the general business
depending on individual circumstances. The estimated
credit (other than a credit from Form 8844, 6478, or Section
burden for individual taxpayers filing this form is approved
B of Form 8835), or
under OMB control number 1545-0074 and is included in the
● A carryback or carryforward of any of those credits. estimates shown in the instructions for their individual
See the instructions for Form 3800 for a list of credits income tax return. The estimated burden for all other
included in the general business credit. taxpayers who file this form is shown below.
Line 11e Recordkeeping 6 hr., 42 min.
Include on line 11e any amounts claimed on: Learning about the law
or the form 42 min.
● Form 8834, Qualified Electric Vehicle Credit, line 20;
Preparing and sending
● Form 8910, Alternative Motor Vehicle Credit, line 18; or the form to the IRS 50 min.
● Form 8911, Alternative Fuel Vehicle Refueling Property If you have comments concerning the accuracy of these
Credit, line 19. time estimates or suggestions for making this form simpler,
Line 14 we would be happy to hear from you. See the instructions for
the tax return with which this form is filed.
See section 38(c)(5) for special rules that apply to married
couples filing separate returns, controlled corporate groups,
estates, and trusts.
Line 15
Although you may not owe alternative minimum tax (AMT),
you generally must still compute the tentative minimum tax
(TMT) to figure your credit. For a small corporation exempt

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