General Business Credit Carryforward Calculator 2026 — Form 3800
Track your Form 3800 General Business Credit — R&D, WOTC, LIHTC and 30+ credits aggregated. Calculate the 75% Section 38(c) limitation, carryback, and 20-year carryforward.
$
Total GBC credits from all sources this year (Form 3800)
$
Unused GBC from prior years (oldest first)
$
Regular tax + AMT − non-refundable personal credits
$
Usually $25,000 for most businesses
Form 3800 GBC Calculation
How the General Business Credit Limitation Works
The §38(c) limitation caps how much GBC you can use in a single year. Excess credits carry back 1 year then forward 20 years.
§38(c) Limitation = max(0, (Net Income Tax − $25,000) × 75%)
Total Available GBC = Current Year + Carryforwards (FIFO)
GBC Used = min(Total Available, §38(c) Limitation)
Carryforward = Total Available − GBC Used
Total Available GBC = Current Year + Carryforwards (FIFO)
GBC Used = min(Total Available, §38(c) Limitation)
Carryforward = Total Available − GBC Used
Example: Net income tax $200K, current year credits $120K, prior carryforward $45K
§38(c) limit: ($200K − $25K) × 75% = $131,250
Total available: $120K + $45K = $165K
Used: $131,250 | Carryforward: $33,750
§38(c) limit: ($200K − $25K) × 75% = $131,250
Total available: $120K + $45K = $165K
Used: $131,250 | Carryforward: $33,750
Extended
Multi-Credit Stack Tracker — 21-Year Horizon
Input each credit by year, apply ordering rules, enforce 75% Section 38(c), stacked area chart
Enter up to 6 years of GBC by credit type. The tracker applies ordering rules and projects the 21-year balance horizon.
Credit Stack Inputs (Current + Prior 5 Years)
| Credit Type | Year -5 | Year -4 | Year -3 | Year -2 | Year -1 | Current Year |
|---|---|---|---|---|---|---|
| R&D Credit (§41) | ||||||
| WOTC (§51) | ||||||
| LIHTC (§42) | ||||||
| Other Credits |
$
$
Credit Stack Over Time
R&D WOTC LIHTC Other
Carryforward Balance by Year (21-Year Horizon)
| Year | Credits Generated | §38(c) Limit | GBC Used | Carryforward | Expiring |
|---|
Frequently Asked Questions
What is the General Business Credit (GBC) on Form 3800?
The General Business Credit aggregates more than 30 individual business tax credits onto a single form — Form 3800. Credits include the R&D Credit (§41), Work Opportunity Tax Credit (WOTC, §51), Low-Income Housing Tax Credit (LIHTC, §42), New Markets Credit, Employer Credit for FMLA, and many others. The combined credit is subject to the §38(c) limitation of 75% of net income tax above $25,000.
What is the Section 38(c) limitation on the GBC?
Section 38(c) limits the GBC in any year to 75% of net income tax above a base amount (generally $25,000). "Net income tax" = regular tax + AMT − allowable non-refundable personal credits. So if your net tax is $100,000, maximum GBC = ($100,000 − $25,000) × 75% = $56,250. Excess credit carries back 1 year and forward 20 years.
How does the carryback and carryforward work for the GBC?
Unused GBC can be carried back 1 year to the immediately preceding tax year. Any remaining unused credit can then be carried forward for up to 20 years. When applying credits in any year, the current year credit is used before carryforwards. Among carryforwards, the earliest year carryforward is used first (FIFO ordering). Credits from the oldest year expire first.
What are the most common components of the General Business Credit?
Key credits include: R&D Credit (§41) — 20% of qualified research expenses above base amount; WOTC (§51) — up to $9,600 per qualified employee from target groups; LIHTC (§42) — annual credits for low-income housing projects; Employer FMLA Credit (§45S) — 12.5%-25% of wages paid during FMLA; Small Employer Health Insurance Credit (§45R) — up to 50% of premiums for small employers; Disabled Access Credit (§44).
Can pass-through entities use the GBC?
Yes. S corporations, partnerships, and sole proprietors can all claim GBC components on their returns. For pass-through entities, the credits flow through to individual owners proportionally. Each partner/shareholder applies the §38(c) limitation at their individual level based on their own net income tax. The carryforward is maintained at the individual level, not at the entity level.