Get Ar Ar1036 2020-2025

This guide provides clear instructions for completing the AR AR1036 form for the Employee Tuition Reimbursement Tax Credit in Arkansas. Whether you are familiar with tax documents or new to them, this user-friendly guide will assist you every step of the way.

Follow the steps to successfully complete your form online.

1. Click the ‘Get Form’ button to access the AR AR1036 form and open it in the online editor.
2. Fill in the tax year for which you are claiming the credit by indicating the beginning and ending dates. Use the format MM/DD/YYYY.
3. Enter the name of the entity applying for the tax credit in the designated field.
4. Input your Federal Employer Identification Number (FEIN) or Social Security Number (SSN) in the appropriate box.
5. Provide the mailing address of your entity, including the city, state, county, and zip code.
6. Specify the ownership classification by checking only one box that best describes your entity: sole proprietorship, taxable corporation, fiduciary, partnership, limited liability company, or subchapter S corporation.
7. In Section B, enter the applicable eligibility number based on the instructions provided on page 2, item 15.
8. Provide the percentage of retail sales to the general public if necessary, depending on the eligibility number selected.
9. If applicable, enter the average hourly wages paid, which corresponds to the eligibility number.
10. In Section C, report the total tax credit amount subject to income tax liability limitation from Section E, page 2.
11. Record the entity's income tax liability for the current tax year.
12. Calculate the income tax liability limitation by multiplying the liability figure from the previous step by 25%.
13. Determine the eligible tax credit available for the tax year by entering the smaller amount between the total tax credit and the income tax liability limitation.
14. For pass-through entity members, complete Section D by listing each member’s name, percentage of ownership, and share of total tax credit.
15. In Section E, provide details about tuition paid or reimbursed by the employer, including the name of the institution, city, and amount, along with the date paid or reimbursed.
16. Calculate the total tax credit by multiplying the total amount paid or reimbursed by 30% and report it on both Line 2 and Line 11 on page 1.
17. Once all information has been entered and verified, you can save your changes, download the completed form, print it for your records, or share it as needed.

Complete the AR AR1036 form online now to ensure your tax credit is processed efficiently.