New market tax credits may be used as follows:

1. (1) On each credit allowance date, the holder of the qualified equity investment may use a portion of the tax credit during the taxable year that includes the credit allowance date;
2. (2) The tax credit amount shall be equal to the applicable percentage for the credit allowance date multiplied by the purchase price paid to the issuer of the qualified equity investment;
3. (3) The amount of the tax credit claimed shall not exceed the state premium tax liability owed by the taxpayer that files the premium tax report for the tax year for which the tax credit is claimed;
4. (4) The tax credit is payable only from the general revenues derived from the nonallocated portion of the state premium tax liability funds as described in Arkansas Code § 26-57-611; and

5. (5)

   1. (A) Unused credits may be carried forward for nine (9) consecutive tax years but are not refundable or saleable on the open market.
   2. (B) However, tax credits earned by entities may be allocated to the partners, members, or shareholders of the entity for their direct use in accordance with any agreement among the partners, members, or shareholders.
   3. (C) Those tax credits may be further allocated through “pass through” entities in accordance with any agreement among the partners, members, or shareholders for direct use.