Download as PDF
154.20-240 Annual report by investors.
(1)
(2)
(3)
(4)
On or before February 1 of the calendar year succeeding the year in which a credit
was awarded, and continuing for four (4) years thereafter, a qualified small business
that has received a qualified investment shall file an annual report with the
authority.
(a) This report shall demonstrate that the small business:
1.
Continues to have more than fifty percent (50%) of its assets, operations,
and employees in the Commonwealth;
2.
Has at no time received an aggregate amount of qualified investments
that has allowed qualified investors to receive more than one million
dollars ($1,000,000) in credits; and
3.
Continues to be actively and principally engaged in a qualified activity.
(b) The report shall also provide additional information related to the success of
the small business attributable to the investment, including but not limited to:
1.
New jobs created;
2.
Increased sales or other economic activity conducted;
3.
The degree of other private investment attracted; and
4.
Any other information requested by the authority.
If a qualified small business either:
(a) Fails to submit the report mandated by this section in any year; or
(b) Fails to meet any of the criteria listed in subsection (2)(a) of this section at any
time during any year of the reporting period;
the authority shall notify the department, which shall recapture any portion, or the
full amount, of the credit awarded for qualified investments in that qualified small
business from the qualified investor that received the credit award or any taxpayer
receiving the credit through a valid transfer. Any amounts collected from the
recapture shall be deposited in the general fund.
If a qualified small business becomes insolvent and ceases operations at any time
before the final required annual report is due, it shall file a written report with the
authority attesting to that fact and shall thereafter be exempt from the annual report
required by this section, and credits awarded for qualified investments in that
qualified small business shall not be subject to any recapture.
Effective: July 15, 2014
History: Created 2014 Ky. Acts ch. 102, sec. 26, effective July 15, 2014.
Disclaimer: These codes may not be the most recent version. Kentucky may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.