Texas Code § 171.9208

CARRYFORWARD
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Sec. 171.9208. CARRYFORWARD. (a) If a taxable entity is eligible for a credit that exceeds the limitation under Section 171.9207 , the entity may carry the unused credit forward for not more than 20 consecutive reports.
(b) Credits, including credit carryforwards, are considered used in the following order:
(1) a credit carryforward of unused credits accrued under Subchapter O before its repeal on January 1, 2008, and claimed as authorized by Section 18(d), Chapter 1 (H.B. 3), Acts of the 79th Legislature, 3rd Called Session, 2006;
(2) a credit carryforward of unused credits accrued under Subchapter M before its repeal on January 1, 2026, and claimed as authorized by Section 4, _.B. _, Regular Session, 2025;
(3) a credit carryforward under this subchapter; and
(4) a current year credit.

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