No Taxable Income and No AMT...

Q.  Can an employer (other than a tax-exempt employer) claim the credit if it has no taxable income and no AMT liability for the year?

1. Generally, no. Except in the case of a tax-exempt employer, the credit for a year offsets only an employer's actual income tax liability or AMT liability, subject to certain limitations, for the year. However, as a general business credit, an unused credit amount can generally be carried back one year and carried forward 20 years. Because an unused credit amount cannot be carried back to a year before the effective date of the credit, though, an unused credit amount for 2010 can only be carried forward.