Connecticut · Investment · CT-FCI-001
Fixed Capital Investment Credit
Publication revised September 24, 2026. Sourcebook page 64.
Credit amount / calculation
5% of eligible fixed-capital investment.
Business fit and eligible activity
Credit for qualifying fixed capital acquired by a Connecticut business. Qualified investment or approved project activity; confirm eligible property, location and taxpayer type.
Eligibility and practical use
The property must meet the useful-life, acquisition and Connecticut-use tests. Do not claim another credit for the same investment. Disposal or removal before the required holding period can trigger recapture.
Illustrative business benefit
$600,000 of qualifying fixed capital x 5% = $30,000 before the annual tax-liability limit. Mobile transportation property, land, buildings and inventory are excluded. Page
Timing / first action
Tax-year claim: document the eligible expense, hire or placed-in-service date and meet any separate certification deadline. Get a written answer on which property is qualified - especially buildings, installation, software, used equipment, vehicles, and mobile machinery.
Official sources
Related programs
Human Capital Investment Credit
10% of eligible training
Qualified training and human-capital spending can earn a credit.
Machinery and Equipment Expenditure Credit
10% of the increase in eligible machinery
Manufacturers can obtain a credit tied to qualifying machinery and equipment expenditures.
Manufacturing Apprenticeship Training Credit
Up to
Manufacturers employing qualified registered apprentices can earn a credit.
Clean Electricity Investment Credit (Internal Revenue Code §48E)
Generally
Potentially relevant when a forest-products facility owns qualifying zero-emission generation or energy-storage property.
Clean Electricity Production Credit (Internal Revenue Code §45Y)
Production-based
Alternative to the investment credit for owners/operators of qualifying clean-electricity facilities; potentially relevant to qualifying on-site generation.
Credit for Increasing Research Activities (Internal Revenue Code §41)
Regular research-credit method
A sawmill, secondary manufacturer or biomass business can qualify when it performs genuine technological experimentation to improve a product or process.