If a pass through entity does not have state income tax liability against which the tax credit may be applied, a shareholder or partner of the pass through entity is entitled to a tax credit equal to:

1. (1) the tax credit determined for the pass through entity for the taxable year; multiplied by
2. (2) the percentage of the pass through entity's distributive income to which the shareholder or partner is entitled.

As added by P.L.218-2007, SEC.5.