×
tax forms found in
Tax Form Code
Tax Form Name

Indiana Free Printable  for 2022 Indiana Current Year Corporate Adjusted Gross Income Tax Booklet with Forms and Schedules

It appears you don't have a PDF plugin for this browser. Please use the link below to download 2021-indiana-it-20-booklet.pdf, and you can print it directly from your computer.

Current Year Corporate Adjusted Gross Income Tax Booklet with Forms and Schedules
IT-20 Booklet

INDIANA 2 0 2 1 IT-20 CORPORATE Income Tax Booklet SP 259 (R21 / 8-21) 2 INDIANA IT-20 CORPORATE Income Tax Booklet Year 2021 & Fiscal Years Ending in 2022 Contents Page What’s New for 2021?.................................................................................................................................................................. 4 Introduction to Corporate Taxation............................................................................................................................. 5 General Filing Requirements..................................................................................................................................................... 5 Taxable Period................................................................................................................................................................. 5 Doing Business in Indiana............................................................................................................................................. 5 Business Entities (in General).................................................................................................................................................... 5 Which Indiana Income Tax Form(s) to File?.............................................................................................................. 5 Types of Corporate Entities and Returns to File......................................................................................................... 5 General Filing Requirements for Form IT-20.......................................................................................................................10 What to Enclose with a State Corporate Return.......................................................................................................10 Adjusted Gross Income Tax.........................................................................................................................................10 Accounting Methods and Taxable Year......................................................................................................................10 Electronic Funds Transfer Requirements..................................................................................................................12 Extensions for Filing Return........................................................................................................................................10 Amended Returns.........................................................................................................................................................12 Instructions for Completing Form IT-20...............................................................................................................................13 Filing Period and Identification..................................................................................................................................13 Question J and Other Fill-in Lines.............................................................................................................................13 Computation of Adjusted Gross Income Tax............................................................................................................14 Sales/Use Tax................................................................................................................................................................ 20 Certification of Signatures and Authorization Section........................................................................................... 23 Specific Instructions for Completing IT-20, Schedule E..................................................................................................... 24 Specific Instructions for Completing IT-20, Schedule F..................................................................................................... 25 Specific Instructions for Completing Schedule IT-2220..................................................................................................... 26 Instructions for Schedule IT-20NOL..................................................................................................................................... 27 About Other Tax Liability Credits.......................................................................................................................................... 29 About Enterprise Zone Tax Credits...................................................................................................................................... 30 Special Reminders.................................................................................................................................................................... 33 Additional Information........................................................................................................................................................... 33 3 INTIME e-Services Portal Available Credits • A new credit (865) is available for EDGE credits based on non-resident employees working in Indiana. See page 30 for more information. • School Scholarship Tax Credit Contribution ceiling increased. The total of allowable net contributions to the program has increased to $17.5 million for the program’s fiscal year of July 1, 2021 through June 30, 2022. INTIME, DOR’s e-services portal, available at intime.dor.in.gov, provides the following functionalities for IT-20 customers: • Make payments using a bank account or credit card • View and respond to correspondence from DOR • Request and print return transcripts on-demand • Electronic delivery of correspondence • Online customer service support through secure messaging Deductions Increased Online Support for Tax Preparers • In addition to the functionality listed above, INTIME provides increased access and functionality for tax preparers. INTIME provides the following functionality for tax preparers: • Gain access to view and manage multiple customers under one login • Ability to file returns, make payments, and view file and pay history for clients • Request electronic power of attorney (ePOA) authorization to view customer accounts • View and respond to correspondence for clients • A new deduction (634) is available to deduct certain expenses for which a deduction is not permitted for federal income tax purposes because an employer claimed a COVIDrelated employee retention credit. See page 17 for more information. A new deduction (636) is available to deduct interest and other amounts included in federal gross income and received from bonds issued by Indiana government and quasigovernment entities. See page 18 for more information Annual Public Hearing In accordance with the Indiana Taxpayer Bill of Rights, the Indiana Department of Revenue (DOR) will conduct an annual public hearing in Indianapolis in June of 2022. Event details will be listed at www.in.gov/dor/news-media-and-publications/ dor-public-events/annual-public-hearings/. Please come and share feedback or comments about how DOR can better administer Indiana tax laws. If not able to attend, please submit feedback or comments in writing to: Indiana Department of Revenue, Commissioner’s Office MS #101, 100 N. Senate Avenue, Indianapolis, IN 46204. We strongly encourage all taxpayers to make payments and file returns electronically whenever possible. INTIME also allows customers to make estimated payments electronically with just a few clicks. What’s New for 2021 References to the Internal Revenue Code Public Law (PL) 146-2020, Sec. 22, amended Indiana Code (IC) 6-3-1-11. The definition of adjusted gross income (AGI) is updated to correspond to the federal definition of adjusted gross income contained in the Internal Revenue Code (IRC). Any reference to the IRC and subsequent regulations means the Internal Revenue Code of 1986, as amended and in effect on March 31, 2021. For a complete summary of new legislation regarding taxation, please see the Synopsis of 2021 Legislation Affecting the Indiana Department of Revenue at www.in.gov/dor/ files/reference/legislative-synopsis-2021.pdf. Introduction to Corporate Taxation Indiana has three kinds of corporate income tax: 1. A corporation doing business in Indiana is subject to the Adjusted Gross Income (AGI) tax. Any corporation earning income from Indiana sources is also subject to the AGI tax. 2. Any entity transacting the business of a financial institution in Indiana is subject to a Financial Institutions franchise tax (FIT). Taxpayers subject to the FIT are exempt from the AGI tax. 3. Any corporation providing utility services in Indiana is also subject to the utility receipts tax (URT). Tax is imposed on the gross receipts received from selling utility services. This tax in addition to any AGI tax liability. Electronic Filing for Certain Corporations For corporations whose taxable year end after December 31, 2021, a corporation with more than $1,000,000 in gross income for federal purposes is required to file its IT-20 electronically. In addition, if the corporation files an amended return, the corporation must file the amended return electronically if its federal gross income is greater than $1,000,000. Add-Backs • The portion of wagering taxes required to be added back as a tax based on or measured by income is being phased out. See page 15 for more information. • A new add-back (149) is available for the add-back of certain meal expenses and for which a deduction is allowable in determining federal adjusted gross income. See page 16 for more information. Indiana recognizes a variety of business organizations. How the business is organized determines the type of tax return(s) it must file. It is important to know the tax-related requirements before establishing operations in Indiana. 4 The IRS assigns this number to business entities at www.irs.gov/ Businesses/Small-Businesses-&-Self-Employed. General Filing Requirements Our homepage provides access to forms, information bulletins and directives, tax publications, email, and various filing options. Visit www.in.gov/dor. All types of corporations, business corporations, professional corporations, C corporations, and S corporations have essentially the same filing requirements despite having different tax responsibilities. Any corporation doing business and having gross income in Indiana must file a corporate income tax return. This must be done regardless of the presence of taxable income (unless exempt under IRC section 501). Unless otherwise specified, state tax returns are due on the 15th day of the 5th month following the close of the corporation’s taxable year. Indiana recognizes federal extensions of time to file. Types of Corporate Entities and Returns to File Nonprofit entities can be organized formally or informally. Contact the Internal Revenue Service for the federal requirements to obtain nonprofit (commonly known as 501(c) (3)) status. The IRS publishes an information booklet titled Tax Exempt Status for Your Organization, Publication 557. Contact: Internal Revenue Service: (800) 829-1040 Publications: (800) 829-3676 www.irs.gov Taxable Period Indiana tax law requires all corporations to adopt the corporation’s federal tax year for reporting income to Indiana. A federal entity election or default classification is recognized for state AGI tax. Doing Business in Indiana For Indiana AGI tax purposes, the term doing business generally means the operation of any business enterprise or activity in Indiana, including but not limited to the following: • Maintenance of an office, a warehouse, a construction site, or another place of business in Indiana; • Maintenance of an inventory of merchandise or material for sale, distribution, or manufacture; • Sale or distribution of merchandise to customers in Indiana directly from company-owned or -operated vehicles when the title of merchandise is transferred from the seller or distributor to the customer at the time of sale or distribution; • Rendering of a service to customers in Indiana; • Ownership, rental, or operation of business or property (real or personal) in Indiana; • Acceptance of orders in Indiana with no right of approval or rejection in another state; • Interstate transportation; or • Maintenance of a public utility. To register for nonprofit status with the state, submit a Nonprofit Organization Application for Sales Tax Exemption (NP-20A, which may be accessed here: www.in.gov/dor/tax-forms/ nonprofit-tax-forms/). Contact: Indiana Department of Revenue Tax Administration P.O. Box 6197 Indianapolis, IN 46207-6197 (317) 232-0129 For-Profit Corporations (Domestic and Foreign) A corporation can be formed for profit or nonprofit purposes. Forming a corporation creates a specific legal entity. An organization incorporated in this state (a domestic corporation) must have Articles of Incorporation 4159 on file with the Corporations Division of the Indiana Secretary of State. Deriving Income from Indiana Sources If a corporation has business income both within and outside Indiana, the entity must apportion its income using the single-factor receipts formula under IC 6-3-2-2. Business income is all income that is apportionable to Indiana under the constitution of the United States. Nonbusiness income is all income other than business income. Nonbusiness income is specifically allocated under IC 6-3-2-2(g) through (k). An organization incorporated in another state or with a foreign government must have an Application for Certificate of Authority 38784 on file with the Indiana Secretary of State. This allows a foreign (outside Indiana) corporation to do business in Indiana. For Indiana tax purposes, a corporation’s tax filing includes other less formal organizations and unincorporated entities, such as general partnerships and nonprofit associations. To determine which return to file, use the following list. File the specified state form(s) to report the income, gains, losses, deductions, and credits. Business Entities (in General) Which Indiana Income Tax Form(s) to File? The type of form filed varies depending on how the corporation is organized and the type of income it earns. An organization filing a federal return and doing business in Indiana must also file the comparable Indiana return. The name of the corporation (which must include the word Corporation, Company, Incorporated, Limited, or an abbreviation thereof) must be included on all returns. When filing Indiana corporate forms, use the federal employer identification number (FEIN) to identify the return. Note A: A limited liability company (LLC) may be classified for federal income tax purposes as a partnership, a corporation, or an entity disregarded as an entity separate from its owner by applying the rules in federal regulation section 26 CFR 301.7701-3. An LLC has members rather than shareholders. If an entity with more than one member was formed as an LLC, it generally is treated as a partnership for federal income tax purposes. It therefore files Federal Form 1065 and Indiana Form IT-65. 5 Single-member LLC reporting defaults to disregarding the LLC as an entity separate from its sole member. The income and expenses of the LLC are included in the return filed by the member. Either a single-member LLC or a multi-member LLC may elect to report its income and deductions as a corporate entity instead. The LLC can file a Form 1120 or Form 1120-A only if it has filed federal Form 8832, Entity Classification Election, to be treated as a corporation. If this election is made for federal tax purposes, the LLC will file Form 1120 and Indiana’s return, Form IT-20. An LLC can be formed under state law by filing Articles of Organization with the Secretary of State. An LLC based outside of Indiana must file an Application for Certificate of Authority of a Foreign Limited Liability Company to do business in Indiana, similar to what foreign corporations file. If the LLC qualifies under IRS guidelines to be treated as an association taxable as a corporation, it must file Form IT-20. Note B: A limited liability partnership (LLP) can be classified for federal income tax purposes as a partnership, a corporation, or an entity disregarded as an entity separate from its owner by applying the rules in federal regulation section 26 CFR 301.77013. The income of an LLP is taxed in the same way as a general partnership’s income is taxed. An LLP can be formed under state law by filing Articles of Registration of a Limited Liability Partnership with the Secretary of State. An LLP based outside of Indiana must file a Certificate of Authority or Notice of Foreign Limited Liability Partnership to do business in Indiana, similar to what foreign corporations file. Note C: A limited partnership (LP) must have at least one general partner and one limited partner. The income is generally taxed in the same manner as a general partnership’s income. An LP can be classified for federal income tax purposes as a partnership, a corporation, or an entity disregarded as an entity separate from its owner by applying the rules in federal regulation section 26 CFR 301.7701-3. The LP can be formed under state law by filing a Certificate of Limited Partnership with the Secretary of State. An LP based outside of Indiana must file a Certificate of Authority or Application of registration to do business in Indiana, similar to what foreign corporations file. 6 Type of Entity Federal Form Filed or Requirement Indiana Form Due Date If in business as a utility service, the utility receipts tax (URT) on gross receipts might be applicable. Gross receipts are defined as the value received for the retail sale of utility services. Gross receipts are owed if any of the following are furnished: Electrical energy, Natural gas, Water, Steam, Sewage, or Telecommunications services. Any Entity Utility Service Provider URT-1 Federal 1120 IT-20 General or Regular Corporation Cooperative Association Corporation Engaged in Farming Foreign Corporation Foreign Sales Corporation Homeowner’s Association Interest Charge Domestic International Sales Corporation Financial Institution Tax FIT-20 Federal 1120-C IT-20 Federal 1120 IT-20 Federal 1120 or 1120-F IT-20 Federal 1120FSC IT-20 Federal 1120-H IT-20 Federal 1120-ICDISC IT-20 Life Insurance Company Limited Liability Company Miscellaneous Information Federal 1120-L IT-20 Federal 1065 or 1065B IT-65 Federal 1120 IT-20 15th day of the 4th month following close of the See General Tax Information Bulletin 201 at taxable year www.in.gov/dor/files/reference/gb201.pdf. 15th day of the 5th month following close of the taxable year If 80% or more of the taxpayer’s gross income comes from extending credit, servicing loans, or a credit card operation, the FIT applies (see 15th day of the 5th month 45 IAC 17-2-4). See General Tax Information following close of the Bulletin 200 at www.in.gov/dor/files/reference/ taxable year gb200.pdf. 15th day, 10th month Check box the appropriate box to question J following close of taxable on Page 1 to indicate if it is necessary to file a year 1120-C 15th day of the 5th month following close of the taxable year 15th day of the 5th month If no U.S. address then the due date is the 15th following close of the day of the 7th month following the close of the taxable year taxable year. 15th day of the 5th month following close of the taxable year 15th day of the 5th month following close of the Not considered nonprofit organization for taxable year Indiana tax purposes. 15th day, 10th month following close of taxable year A domestic insurance company organized under the laws of the state of Indiana that elects to file the corporation income tax return instead of the insurance premium tax return must file Form IT-20 and mark the appropriate check 15th day of the 5th month box to question J on page 1 of the return. It will following close of the be exempt from the insurance premium tax if it taxable year elects to pay the AGIT. 15th day of the 4th month following close of the taxable year See page 5 15th day of the 5th month following close of the taxable year 7 Limited Liability Partnership Limited Partnership Nuclear Decommissioning Funds Federal 1065 or 1065-B IT-65 Federal 1120 IT-20 Federal 1065 or 1065B IT-65 Federal 1120 IT-20 Federal 1120ND IT-20 Political Organization Federal 1120POL IT-20 Property & Casualty Insurance Company Federal 1120-PC IT-20 Publicly Traded Partnership Federal 1065 or 1065B IT-65 Federal 1120 IT-20 Federal 1120REIT IT-20 Federal 1066 IT-20 Real Estate Investment Trust Real Estate Mortgage Investment Conduit 15th day of the 4th month following close of the taxable year 15th day of the 5th month following close of the taxable year 15th day of the 4th month following close of the taxable year 15th day of the 5th month following close of the taxable year 15th day of the 5th month following close of the taxable year 15th day of the 5th month following close of the taxable year See page 6 See page 6 If nonprofit is filing an 1120-POL, report such income on IT-20NP, not the IT-20. A domestic insurance company organized under the laws of the state of Indiana that elects to file the corporation income tax return instead of the insurance premium tax return must file Form IT-20 and mark the appropriate check 15th day of the 5th month box to question J on page 1 of the return. It will following close of the be exempt from the insurance premium tax if it taxable year elects to pay the AGIT. A publicly traded partnership (PTP) that is treated as a partnership and not as a corporation for federal income tax purposes must file on Form IT-65. A PTP that is treated as a 15th day of the 4th month corporation for federal income tax purposes following close of the under IRC Section 7704 must file on Form taxable year IT-20. 15th day of the 5th month following close of the taxable year A corporation, a trust, or an association that meets certain conditions under IRC Section 856 can elect to be treated as a real estate investment trust (REIT) for the tax year. It does this by figuring its taxable income as a REIT on 15th day of the 5th month federal Form 1120-REIT. An entity filing as a following close of the REIT files Form IT-20 or Form FIT-20 to report taxable year business activity income in Indiana. A corporation, a partnership, a trust, or an entity that meets certain conditions under IRC Section 860D can elect to be treated as a real 15th day of the 4th month estate investment conduit (REMIC) for the tax following close of the year. It does this by figuring its taxable income taxable year as an REMIC on federal Form 1066. 8 Federal 1120RIC IT-20 Federal 1120S IT-20S Federal 1120-SF IT-20 Federal 990 or 990T IT-20NP Federal 990 or 990T NP-20 A regulated financial corporation, subsidiary of a holding company, or regulated financial corporation can elect to be treated as a regulated investment company (RIC). It does this by filing Form 1120-RIC. For state purposes, the RIC must use Form IT15th day of the 5th month 20 or Form FIT-20 to report federal taxable following close of the income, deductions, gains, and losses from the taxable year operation of an RIC in Indiana. A corporation incorporated in the United States can elect S corporation treatment. The corporation must submit IRS Form 2553 to the IRS for recognition of its status. This is a separate legal and taxable entity. It can have no more than 100 owners. An S corporation is exempt from federal income tax except on 15th day of the 4th month certain capital gains and passive income. Any following close of the income taxed at the corporate level is subject to taxable year the Indiana corporate AGIT. 15th day of the 5th month following close of the taxable year A nonprofit organization or corporation must file Form IT-20NP and/or Form NP-20. After nonprofit status is granted, the organization must file the annual report (NP-20) to maintain state recognition of its sales tax exemption. If the organization has unrelated business income over $1,000 during the tax year, it must also file Form IT-20NP. For information about nonprofit filing requirements, see Income Tax Information Bulletin #17, available at www. in.gov/dor/files/reference/ib17.pdf. DOR recognizes the exempt status determined by the IRS. An organization registered as a nonprofit is subject to the AGIT unless the income is specifically exempt from taxation under the Adjusted Gross Income Tax Act (IC 6-3-2-2.8 and 6-3-2-3.1). The nonprofit organization is 15th day of the 5th month subject to both federal and state tax on income following close of the derived from an unrelated trade or business, as taxable year defined in IRC Section 513. 15th day of the 5th month following close of the taxable year Federal 1065 IT-65 15th day of the 4th month following close Regulated Investment Company S Corporation Settlement Fund Nonprofit Organization Religious or Apostolic 9 General Filing Requirements for Form IT-20 What to Enclose with a State Corporate Return To complete a state income tax return, enclose copies of pages 1 through 5 of the completed U.S. Corporation Income Tax Return (Form 1120) or the comparable federal return being filed. The federal Schedule M-3 and any confirmation of an extension of time to file the return must also be included. Adjusted Gross Income Tax The Indiana AGIT is generally calculated using federal taxable income from federal Form 1120 or a comparable return and making Indiana modifications as required by IC 6-3-1-3.5(b). If there is income from sources both within and outside Indiana, use the apportionment and allocation formula on Form IT-20 Schedule E to determine the AGI that’s attributed to Indiana. The corporate AGI tax rate is as follows: After June 30, 2020, and before July 1, 2021........................... 5.25% After June 30, 2021....................................................................... 4.9% How to Determine the Tax Rate For taxpayers whose taxable year begins when one rate is in effect and the taxable year ends when a different rate is in effect, compute the tax as provided below. This includes calendar-year taxpayers, fiscal-year taxpayers, short-period taxpayers, and 52-53 week tax year taxpayers. However, if your taxable year begins and ends during a period when the same rate is in effect (for instance, a fiscal year from July 1, 2020 to June 30, 2021), no proration is necessary. How to Determine the Tax Rate for Calendar-Year, Fiscal-Year, Short-period, and 52-53 Week tax year Taxpayers Pursuant to IC 6-3-2-1(c), the following steps must be used to determine the tax rate if a taxpayer is subject to different tax rates for a taxable period: 1. Multiply the tax rate in effect on June 30 of the taxable period by the number of days in the taxpayer’s taxable period that occurred before July 1 of the taxable year. 2. Multiply the tax rate in effect on July 1 of the taxable period by the number of days in the taxpayer’s taxable period that occurred after June 30 of the taxable year. 3. Add the amounts in Step 1 and Step 2, and then divide the sum by the total number of days in the taxpayer’s taxable year. 4. Round the rate determined in Step 3 to the nearest 0.01%. Extensions for Filing Return DOR accepts the federal extension of time application (Form 7004) or the federal electronic extension. If already approved for a federal extension of time application (Form 7004) or the federal electronic extension, it is not necessary to contact DOR before filing the annual return. Returns postmarked within 30 days after the last date indicated on the federal extension are considered timely filed. If a corporation does not need a federal extension of time but needs one for filing a state return, an extension request and prepayment of 90% can be submitted via INTIME, DOR’s e-services portal at intime.dor.in.gov, or by submitting a letter requesting an extension prior to the annual return’s due date. To request an Indiana extension of time to file by letter, contact: Indiana Department of Revenue Corporate Income Tax Tax Administration P.O. Box 7206 Indianapolis, IN 46207-7206 An extension of time granted under IC 6-8.1-6-1 waives the late payment penalty for the extension period on the balance of tax due, if at least 90% of the tax due is paid by the original due date and the remaining balance, plus interest, is paid in full by the extended due date. Use DOR’s e-services portal, INTIME, at intime.dor.in.gov and Form IT-6 to make an extension payment for the taxable year. See Income Tax Information Bulletin #15 at www.in.gov/dor/files/reference/ib15.pdf for more details. Any tax paid after the original due date must include interest. Interest on the balance of tax due must be included with the return when it is filed. Interest is computed from the original due date until the date of payment. Each October DOR establishes the interest rate for the next calendar year. See Departmental Notice #3 available at www.in.gov/dor/files/dn03.pdf for interest rates. If a valid extension of time or a federal extension to file is approved, please check the box for question V on the front of the return. If applicable, enclose a copy of the federal extension of time with the state return. Accounting Methods and Taxable Year Use the same method of accounting for the AGIT that was used for federal income tax purposes. The taxable year for the AGIT must also be the same as the accounting period used for federal income tax purposes. If the standard apportionment provisions do not fairly reflect Indiana income, DOR must be petitioned for permission to use an alternative method. For an overview of corporate taxation, see Income Tax Information Bulletin #12 available at www.in.gov/dor/files/reference/ib12.pdf. Consolidated Reporting Under the Adjusted Gross Income Tax Act, affiliated corporations have the privilege of electing to file a consolidated return. This is provided in IRC Section 1502 for those affiliates as defined in IRC Section 1504. The Indiana consolidated return must include any member of the affiliated group under IRC Section 1504 having income or loss attributable to Indiana during the year. To file a consolidated return for AGIT purposes, the parent corporation must own at least 80% of each subsidiary’s voting stock and own at least 80% of the total value of the stock, either directly or through a chain of includible corporations. The affiliated group may not include any corporation that does not have taxable income or loss from Indiana sources. To elect to file a consolidated return for Indiana purposes, the return must be filed by the due date or the extended due date. An election to file a consolidated return cannot be done on a 10 retroactive basis. Notify DOR by completing Schedule 8-D, Schedule of Indiana Affiliated Group Members. Indicate the affiliated corporations included in the consolidated return. After an affiliated group elects to file consolidated for Indiana purposes, it must continue to do so through all subsequent years of filing. In addition, a worksheet must accompany the annual return supporting each of the participating affiliates’ information that reconciles to the reported consolidated AGI or loss. Schedule 8-D is available at www.in.gov/dor/tax-forms/2021corporatepartnership-income-tax-forms/. Directive #6 at www.in.gov/dor/files/reference/poldir06.pdf. If the group wants to revoke the election in a subsequent tax year, it must make a request to DOR demonstrating good cause for the request and receive written permission from DOR prior to filing the separate returns. The group must make its request to discontinue filing consolidated at least 90 days before the return’s due date, or the request will be denied. The quarterly due dates for estimated payments are the 20th day of the 4th, 6th, 9th, and 12th months of the taxpayer’s tax period, regardless of whether filing on a calendar year, fiscal year, or short year basis. Taxpayers should use the reporting taxpayer’s federal identification number (FEIN) when remitting payments on behalf of a group in a consolidated or combined return. Unitary (Combined) Filing Status Visit INTIME, DOR’s e-services portal, at intime.dor.in.gov to make an estimated tax payment or view payment history. A taxpayer must petition DOR for permission to file a combined income tax return for a unitary group. The petition must be filed no later than 30 days after the end of the tax year for which the entity is seeking permission. Permission will be granted if combined reporting will more fairly reflect the unitary group’s Indiana source income. However, combined reporting is limited to the “water’s-edge” of the United States unless specifically requested and approved otherwise. The petition should be sent to: Indiana Department of Revenue Tax Policy Division 100 N. Senate Avenue, N 248 MS 102 Indianapolis, IN 46204 Caution: After permission has been granted to file on a combined basis, the taxpayer must continue to file returns on this basis until DOR grants permission to use an alternative method. The taxpayer filing the combined return must petition DOR within 30 days after the end of the tax year for permission to stop filing a combined return. Form IT-20RECAP, Reconciliation of Federal Taxable Income, must be completed detailing the following: 1. The federal taxable income; 2. The intercompany eliminations; and 3. The members’ adjusted gross income tax. A list of the corporations that are members of the unitary group filing for the reporting unitary filer must be enclosed with the return, noting each entity’s federal employer identification number. The computation of apportionment factor for the combined group’s members detailing the apportionment information for each entity must also be included. Entities that have a sales factor numerator greater than zero are taxable members. Each taxable member will be assigned a share of business income according to its relative share (its percentage share without considering any nontaxable member’s share) of the unitary group’s Indiana (adjusted) sales factors. Additional information concerning unitary requirements is available from the Tax Policy Division at [email protected] or Tax Policy Quarterly Estimated Payments A corporation with estimated adjusted gross income tax (AGIT) liability exceeding $2,500 for a taxable year must make quarterly estimated tax payments. The quarterly estimated tax payments must be submitted through INTIME, DOR’s e-services portal at intime.dor.in.gov, by electronic funds transfer (EFT), or by submitting an appropriate Indiana voucher along with Form IT-6, depending on the amount due. Claim credit for all estimated payments on lines 34 through 36 of Form IT-20. Refunds reflected on the annual corporate return from overpayments of estimated payments may be applied to the next taxable year’s estimated liability or refunded directly to the taxpayer. Apply the overpayments to the next year’s estimated liability by entering the refund amount to be credited to the next year’s estimate payments on line 48 of Form IT-20. An election to apply an overpayment to the following year is irrevocable. If the overpayment is reduced due to an error on the return or an adjustment by DOR, the amount to be refunded will be corrected before any changes are made to the estimated account for next year. A refund may be set off and applied to other liabilities under IC 6-8.1-9-2(a) and 6-8.1-9.5 before it is credited to the following year’s estimated tax account. The quarterly estimated payment must be equal to the lesser of: • 25% of the AGIT liability for the taxable year; or • The annualized income installment calculated in the manner provided by IRC Section 6655(e) as applied to the corporation’s liability for AGIT. Penalty for Underpayment of Estimated Tax Those required to pay estimated tax are subject to a 10% underpayment penalty if estimated quarterly payments are not filed or are not paid in full. The required estimate should exceed: • The annualized income installment calculated in the manner provided by IRC Section 6655(e) as applied to the liability; or • 25% of the final tax liability for the prior taxable year. If either of these conditions are met, no underpayment of estimated tax penalty will be assessed for the estimated period. If taxes were underpaid for any quarter, use Schedule IT-2220 to show an exception to the penalty. If none of the exceptions are met, include payment of the computed penalty with the return. The underpayment penalty is the difference between the amount paid for each quarter and 25% of the final income tax for the current tax year. Special rules may apply to short taxable year or first time filers. See the instructions for completing Schedule IT2220, Penalty for the Underpayment of Corporate Income Tax. 11 Electronic Funds Transfer Requirements If the required corporate quarterly estimated payment determined by DOR exceeds $5,000, the corporation is required to submit the payment by electronic funds transfer. DOR prefers this be completed through the e-services portal, INTIME. Failure to submit a required quarterly payment electronically will result in a penalty of 10% being assessed at the time the annual income tax return is filed. The penalty is computed on each payment required to be made electronically that is instead submitted by another means. If a corporation meets the requirements to remit by EFT, estimated tax payments (I-6) can be made via INTIME, DOR’s e-services portal at intime.dor.in.gov. If DOR notifies a corporation that it must remit by EFT, the corporation must begin remitting tax payments via EFT by the date/tax period specified by DOR. DOR also assesses a penalty of $35 on any payment on which it cannot obtain payment. Amended Returns What form should be filed to amend a return? For tax years beginning prior to January 1, 2019, a taxpayer should file Form IT-20X to amend a previously filed corporate income tax return. This form is available at www.in.gov/dor/tax-forms/indiana-stateprior-year-tax-forms/2019-corporatepartnership-income-taxforms/. Taxpayers should follow the instructions included with Form IT-20X. For tax years beginning on or after January 1, 2019, a taxpayer should file Form IT-20 for the tax year being amended. For periods beginning on or after January 1, 2019, a taxpayer should not use Form IT-20X to file an amended return. Completing the amended return. To amend a previously filed Indiana corporate income tax return, Form IT-20 must be completed with one of the boxes checked at the top of Form IT-20. Check the first box if the return is being amended for any reason other than a federal audit. Check the second box if amending the return due to a federal audit. Complete Form IT-20 with the amended figures. Taxpayers should refer to the instructions for the corporation income tax return, and related schedules, of the tax year being amended. Please enclose a concise explanation of the change(s) along with corrected schedules and any other documentation. Payment of any balance due must accompany the amended return. Indiana Code (IC) 6-3-4-6 requires taxpayers to notify DOR of any changes (federal adjustment, RAR, etc.) made to a federal income tax return within 180 days of such change. Federal waivers should be enclosed, if applicable. Please attach a copy of the federal RAR and/or federal audit report to the amended return. IC 6-8.1-9-1 entitles a taxpayer to claim a refund because of a reduction in tax due to a federal modification. A taxpayer can file a claim for refund within 180 days from the date of notice of the final modification by the IRS. Therefore, an overpayment due to a change of a federal income tax liability must be claimed within the latest of: the three-year period from the due date of the return, the date of payment, or within six months of the taxpayer’s notification of the final modification by the IRS. If the taxpayer and DOR agree to an extension of the statute of limitations for an assessment, the period for filing a claim for refund is also extended. Credits and payments. If a change is made to any of the payments and/or credits reported on the original return, please attach any schedules, statements or cancelled checks that support such change. A tax payment made with the original return or tax refund received from filing the original return (entered as a negative amount) should be included on Line 37 Other payments, credits plus any amounts included on this line when the original return was filed. Note that an overpayment carried to the following year’s estimated tax account on the originally filed return should be treated as a refund and entered on Line 37. Once the overpayment is carried forward, it cannot be reversed. A statement should be attached with an explanation of the amount included on Line 37. Remittance due or refund. If the amount of tax due (Line 33) is greater than the payments and credits (Line 40), enter the balance of tax due on Line 41. If the amended return is submitted after the due date of the original return, including valid extensions, a 10% penalty is due on the balance of tax due or $5, whichever is greater. Note. A $10 per day penalty (maximum $250) may apply to zero tax liability returns delinquently filed. If a tax payment is made after the original return due date, the payment must include interest. Interest is calculated from the original return due date until the date the payment is made. For current interest rates see Departmental Notice #3 available at www.in.gov/dor/files/dn03.pdf. If the amount of tax due (Line 33) is less than the payments and credits (Line 40), enter the overpayment on Line 46. If the overpayment is to be refunded, enter the overpayment amount on Line 47. If the overpayment is to be carried forward to the next following year’s estimated tax account, enter the amount on Line 48. Interest may or may not be due on the overpayment. Please refer to General Tax Information Bulletin 101, available at www.in.gov/dor/files/reference/gb101.pdf. The statute of limitations for refund claims is 3 years from the due date of the original return or 3 years from the date of the overpayment occurred, whichever is later. Extensions of time extend the due date of the return. Quarterly payments are considered to be made on the due date of the return filed for a taxable period. Note: An extension of time to file does not extend the time to pay any tax due. Tax due must be paid by the original due date. Interest and penalty are calculated on late payments from the due date of the payment. Note: If the corporation is undergoing a bankruptcy proceeding, mail the amended return to: Indiana Department of Revenue, Bankruptcy Section MS 108, 100 N. Senate Ave., Indianapolis, IN 46204-2253. 12 Question J and Other Fill-in Lines Mailing Options If you owe tax, please mail the amended return to: Indiana Department of Revenue P.O. Box 7087 Indianapolis, IN 46207-7087 All corporations filing an Indiana corporation income tax return must complete the top portion of the form, including questions J through W. Check or complete all boxes that apply to the return. J. Check the “final return” box only if the corporation is dissolved, liquidated, or has withdrawn from the state. Also, the Form BC-100 must be filed to close out any sales and withholding accounts. Visit www.in.gov/dor/ tax-forms/business-tax-forms/ to complete this form online. If you do not owe any tax, please mail the amended return to: Indiana Department of Revenue P.O. Box 7231 Indianapolis, IN 46207-7231 K. Enter the date of incorporation for the company in field one and enter the state of incorporation in field two. L. Enter the corporation’s state of commercial domicile. Instructions for Completing Form IT-20 M. Enter the year the initial Indiana return was filed. Filing Period and Identification N. Enter the corporation’s address where records are kept. File a 2021 Form IT-20 return for a taxable year ending Dec. 31, 2021; a short tax year beginning in 2021; or a fiscal year beginning in 2021 and ending in 2022. For a short or fiscal tax year, fill in the beginning month and day and the ending date of the taxable year at the top of the form. O. If the corporation made estimated tax payments under a different federal employer identification number (FEIN), check this box. Attach a scheduling listing all the other identification numbers that have been used when making payments. A correct Form IT-20 must be submitted. Please use the corporation’s full legal name and present mailing address. For foreign addresses, please note the following: • Enter the name of the city, town, or village in the box labeled City; • Enter the name of the state or province in the box labeled State; and • Enter the postal code in the box labeled ZIP Code; and • Enter the 2-digit country code. P. Check this box if filing federal Form 1120 as a consolidated return. Q. Check this box if filing on a unitary basis, to indicate that material changes in circumstances have occurred since the last petition has been filed. If this box is checked, enclose a statement indicating those changes. R. Check this box if 80% or more of the gross income for the tax year is derived from making, acquiring, selling, or servicing loans or extensions of credit. If this box is checked, do not file Form IT-20. Instead, Form FIT-20, the Indiana financial institution tax return, must be filed. Check the appropriate box at the top of Form IT-20 if filing an amended return. For a name change, check the box at the top of the return. Enclose copies of Amended Articles of Incorporation or an Amended Certificate of Authority filed with the Indiana Secretary of State with the return. S. Check yes to indicate if filing an Indiana consolidated return. If so, complete and enclose Schedule 8-D, Schedule of Indiana Affiliated Group Members. The federal employer identification number shown in the box in the return’s upper-right corner must be accurate and identical to that used on the federal corporation income tax return. Consolidated filers must use the federal employer identification number of the corporation designated as the reporting corporation. T. Check this box if filing a combined return on a unitary basis. If so, enclose the unitary apportionment addendum. U. Check this box if the corporation deducted for any intangible expenses or directly related interest expenses paid to affiliates. Complete and enclose Schedule IT-20PIC. Also, enclose federal Form 851, Affiliations Schedule, with the return. List the two-digit county code number if filing a return for a corporate address located in Indiana. See Departmental Notice #1, located at www.in.gov/dor/files/reference/dn01.pdf, for a list of 2-digit county code numbers. Enter “00” (two zeroes) in the county box D if the corporate address lies outside of Indiana. V. Check this box if the corporation has a valid extension of time or an electronic federal extension of time to file the return. If applicable, enclose a copy of federal Form 7004 with the return. Enter the principal business activity code, from the North American Industry Classification System (NAICS), in the designated block of the return. Use the six-digit activity code reported on the federal corporation income tax return. W. Check this box if reporting income from disregarded entities. If this box is checked, please enclose a list of the disregarded entities with the return. 13 Computation of Adjusted Gross Income Tax Unitary filers should use the combined group’s totals and relative formula percentage for entries on all lines except 18 and 20. Compute the Indiana portion of a net operating loss deduction, if any, on line 20. Base it on the relative formula percentage as applied for the loss year. Important: • Please round all entries to the nearest whole dollar amount. • Please do not use a comma in dollar amounts of four digits or more. For example, instead of entering “3,455” enter “3455.” Income Line 1 - Federal Taxable Income Enter the federal taxable income (as defined under IRC Sections 63, 801, or 832) before any federal net operating loss (NOL) deduction and/or special deductions from Form 1120 (pro forma U.S. Corporation Income Tax Return) for the taxable period. Some organizations can enter federal taxable income after the $100 specific deduction. Political organizations and homeowner associations are allowed a $100 specific deduction. Line 2 - Federal Deduction of Qualifying Dividends Enter the special deductions from Schedule C, federal Form 1120. Use the amount reportable to Indiana if filing as a consolidated group. See line 12 for Indiana’s treatment of any remaining foreign source dividends. Line 3 - Subtotal Federal Taxable Income Before NOL Subtract line 2 from line 1. Modifications to Adjusted Gross Income, Lines 4 - 11 Enter any add-backs and deductions on lines 4 through 10. Enter the name of the add-back/deduction, its 3-digit code, and its amount. Use minus signs to denote negative amounts. Also include the proportionate share of Indiana modifications attributable from a unitary partnership, prior to apportionment. Attach additional sheets if necessary. Adding Back Depreciation Expenses Several of the discontinued add-backs were created by timing differences between federal and Indiana allowable expenses. The following is an example of how to report a difference. Example. ABC Company has qualified restaurant equipment. For federal tax purposes, they use the accelerated 15-year recovery period for an asset placed in service in 2009. Since 2009, ABC Company has been adding back the depreciation expense taken for federal purposes that exceeded the amount allowable for Indiana purposes. The accumulated depreciation on such an asset through 2012 is, therefore, different for federal and state purposes. This difference will remain until the asset is fully depreciated or until the time of its disposition. So, in this example, the asset was acquired in January 2009 at a purchase price of $120,000. This normally would have a 25-year recovery period, but IRC Sec. 168 allows for a 15-year recovery period. Tax year 2012 is the last year ABC Company will have reported a qualified restaurant equipment add-back until the end of the 15-year recovery period. If this asset was sold before being fully depreciated (using straight-line depreciation), the catch-up modification would be reflected in the year of the sale. However, if this property is held through 2023 (the 15th year of depreciation), ABC Company will report a negative $12,800 catch-up add-back on the corporation’s 2023 state tax return. The following add-backs and deductions should be entered on lines 4 through 10. Conformity Add-Back Before this publication was finalized Indiana had not conformed to any changes to the Internal Revenue Code (IRC) that may have become law after March 31, 2021. Therefore, the IRC used to figure Indiana income may not wind up being the same as the IRC used to figure federal income. This add-back is specific to these annual current year conformity issues. If uncertainty exists as to whether or not Indiana will adopt some or all of the federal legislation passed after March 31, 2021, that acts to modify federal AGI, you may add-back those items as an “other” add-back. In the event those items are adopted, an amended return should be filed to recoup the add-back(s). Conformity Add-Back – Positive Entry (3-digit code: 120) This add-back is only for current year conformity issues. Conformity issues for preceding tax years must be addressed on the add-back line specific to the item in question. If the state legislature does not conform to federal code changes enacted after March 31, 2021, you may have to amend your return at a later date to reflect any differences between Indiana and federal law. You may wish to periodically check for updates at www.in.gov/dor/. Conformity Add-Back – Negative Entry (3-digit code: 147) This add-back generally is based on conformity issues arising from a previous year. However, in rare cases this can arise from conformity issues arising in the current year where the IRC treats an item as taxable or nondeductible that was previously exempt or deductible. For more information, see Income Tax Information Bulletin 119 at www.in.gov/dor/files/ib119.pdf. One example that occurs periodically is when there is a federal disaster. Congress will amend the IRC to permit IRA withdrawals to be included over three years (e.g., a 2021 withdrawal would be included one-third in 2021, one-third in 2022, and one-third in 2023). If Indiana decoupled from the IRC, the whole amount would be included in 2021, none in 2022, and none in 2023. The Code 120 would be for the two-thirds add-back in 2021, the Code 147 would be for the one-third deduction in 2022 and 2023. These have occurred from time to time but (1) did not affect Indiana because of the specific disaster and (2) the IRC conformity date was updated in time. Tax Add-Back (3-digit code: 100) Add back all state taxes based on or measured by income, levied by any state, which were deducted on the federal tax return. 14 Wagering taxes fall within this category to be added back. However, the amount to be added back is being phased out. See the following instructions. • Wagering taxes. The portion of wagering taxes required to be added back as a tax based on or measured by income is being reduced (phased out). For wagering taxes, such as the riverboat wagering tax (IC 4-33-13), supplemental wagering tax (IC 4-33-12), state slot machine wagering tax (IC 4-35-8), sports wagering tax (IC 4-38-10), and similar taxes imposed by other states based on wagering receipts, only a portion of the taxes are required to be added back. The percentage of taxes required to be added back is determined by the first date of the taxpayer’s taxable year, and is determined as follows: 2020 – 75%; 2021 – 62.5%; 2022 – 50%; 2023 – 37.5% 2024 –25.0%; 2025 – 12.5%; 2026 and later – no add back required. Related Company Intangible Expense Add-Back (3-digit code: 140) Add back the net result from Schedule IT-20PIC Part 1, line 12. A corporation subject to the AGI tax must add to its taxable income any intangible expenses deducted in determining federal taxable income. A corporation answering yes to question U on the front of the return must complete Schedule IT-20PIC. Instructions are attached to the schedule. The following definitions apply to corporations for the purpose of disclosing activities and amounts involving transactions of intangible property to the extent required under IC 6-3-2-20: For example, Casino X, Inc., remits $10,000,000 in riverboat wagering taxes in 2021. Instead of Casino X adding back the full $10,000,000, Casino X will add back $6,250,000. Note. Income, losses and/or expenses from other schedules and forms may flow through to federal Schedules C, E and F. K-1 may be included on federal Schedule E, while expenses from federal Form 8829 may be included on federal Schedule C. Make sure to check these schedules and forms for any deduction that needs to be added back. For example, partnership income from federal Schedule K-1 may be included on federal Schedule E, while expenses from federal Form 8829 may be included on federal Schedule C. Make sure to check these schedules and forms for any deduction that needs to be added back. Charitable Contributions (3-digit code: 114) Add back all charitable contributions deducted when computing federal net taxable income. • Affiliated group has the meaning set forth in IRC Section 1504, except that the ownership percentage is determined using 50% instead of 80%. • Foreign corporation means a corporation that: ο Is organized under the laws of a country other than the United States; and ο Would be a member of the same affiliated group as the taxpayer if the corporation were organized under the laws of the United States. • Intangible expense means the following amounts, to the extent these amounts are allowed as deductions from taxable income under IRC Section 63: expenses; losses; and costs directly for, related to, or in connection with the acquisition, use, maintenance, management, ownership, sale, exchange, or any other disposition of intangible property. Also included in the term are royalties, patent fees, technical fees, copyright fees, licensing fees, and other substantially similar expenses and costs. • Makes a disclosure means a taxpayer provides the following information about a transaction of a member of the same affiliated group or a foreign corporation involving an intangible expense and any directly related interest expense: the recipient’s name; the state of the recipient’s commercial domicile; the amount paid to the recipient; a copy of federal Form 851 (Affiliation Schedule); and the information needed to determine the taxpayer’s status under the allowed exceptions. • Recipient means a member of the taxpayer’s affiliated group who is paid income that corresponds to an intangible expense or any directly related interest expense. • Unrelated party means a person who is not a member of the same affiliated group. • Valid business purpose means one or more transactions that have sufficient economic substance, other than the avoidance or reduction of taxes that, alone or in combination, constitute the primary motivation for a business activity or change the taxpayer’s economic position in a meaningful way. A meaningful change in the taxpayer’s economic position includes, but is not limited to: Note. Also see the Infrastructure Fund Gift Deduction on page 17. Federal Gross Repatriated Dividend Add-Back (3-digit code: 138) Add back the amount necessary to make the dividend equal to the gross deemed dividend reportable for federal tax purposes. If you claimed a deduction under IRC section 965(c) for federal tax purposes, the add-back will equal federal Form 965, Part II, Line 17. The total amount included in adjusted gross income will equal the gross amount of dividends reported prior to any deduction under IRC section 965(c). Note. This income after the add-back and after any deduction for Section 78 gross-up related to the deemed dividend is treated as a foreign source dividend. Filers should use Schedule IT-20FSD to calculate the proper deduction for Indiana taxes. If you are filing as a REIT, add back the IRC Section 965(c) deduction using 3-digit code 139. If you have made an IRC Section 965(m) election, Indiana follows the federal treatment for that election. 15 ο ο ο An increase in market share Its entry into new business markets; or Its compliance with a regulatory requirement of federal, state, or local government. Related Company Interest Expense Add-Back (3-digit code: 141) Add back the net result from Schedule IT-20PIC Part 2, line 12. A corporation subject to the AGI tax must add to its taxable income any directly related interest expenses deducted in determining federal taxable income. A corporation answering yes to question U on the front of the return must complete Schedule IT-20PIC. Instructions are attached to the schedule. • • 143 and Code 146 should not be greater than federal Form 1120, Schedule C, Line 22. Do not report a negative amount with this code. Meal Deduction Add-Back (3-digit code: 149) If you: • claimed a deduction for meal expenses with regard to food and beverages provided by a restaurant in computing your federal taxable income; AND • the deduction would have been limited to 50% of the meal expenses if the expenses had been incurred before Jan. 1, 2021, add back the amount deducted for federal purposes in excess of 50% of the food or beverage expenses. Directly related interest expenses means interest expenses that are either paid to or accrued/incurred as a liability to a recipient if: ο The amounts represent income from making loans; and the recipient originally received the loaned funds from the payment of expenses by the taxpayer, by a member of the same affiliated group, or by a foreign corporation. Do not add back any amount for which an exception to the 50% limitation was in effect for amounts paid before Jan. 1, 2021. Interest expense means an interest expense allowable under IRC Section 163, determined without regard to the limitation under IRC Section 163(j). If interest expenses paid or incurred in the current year are disallowed as a result of IRC Section 163(j), the portion of the interest expenses that constitutes directly related interest expenses are required to be added back in the current year. If an interest expense is disallowed under IRC Section 163(j) in the current year but allowed in a later year, any portion of that interest expense deducted in the later year is not required to be added back in the later year. Dividends Paid to Shareholders of a Captive Real Estate Investment Trust (3-digit code: 116) Add back the amount of any deduction for dividends paid to shareholders of a captive real estate investment trust (REIT). A captive REIT is defined as a corporation, a trust, or an association: • That is considered a REIT under Section 856 of the IRC; • That is not regularly traded on an established securities market; • That is not organized in a country that has a tax treaty with the United States Treasury governing the tax treatment of these trusts; and • In which more than 50% of the voting power or shares is owned or controlled by one entity. See the instructions for the Related Company Intangible Expense for additional definitions apply to corporations for the purpose of disclosing activities and amounts involving transactions of intangible property to the extent required under IC 6-3-2-20. Excess Federal Interest Deduction Modification (3-digit code: 142) IRC Section 163(j) limits the federal interest deduction for most business interest to 30% (50% for 2019 and 2020 in certain cases) of adjusted taxable income plus business interest. However, Indiana decoupled from this provision. Subtract an amount equal to the amount as a deduction for excess business interest under IRC Section 163(j) in the year in which the interest was first paid or accrued. If you are deducting any business interest carried over from a previous year, add the amount of this interest deducted. Federal GILTI Deduction Add-Back (3-digit code: 143) If you received any global intangible low taxed income, add back the 50% deduction claimed under IRC Section 250(a)(1)(B)(i). This amount should be reflected, in whole or in part, on federal Form 1120, Schedule C, Line 22. Do not report a negative amount with this code. GILTI § 78 Deduction Add-Back (3-digit code: 146) Add back any amount of IRC Section 78 income deducted under IRC Section 250(a)(1)(B)(ii). This amount should be reflected in part on federal Form 1120, Schedule C, Line 22. The sum of Code Example: Monosyllabic, Inc. incurs $2,000 in meal expenses during 2021 and deducts the entire $2,000 in computing its 2021 federal taxable income. The meal expenses would have qualified for only a 50% limitation under pre-2021 IRC § 274. Monosyllabic, Inc. is required to add back $1,000. Net Bonus Depreciation Allowance (3-digit code: 104) Add or subtract an amount attributable to bonus depreciation. Do this if it’s in excess of any regular depreciation allowed if the corporation did not elect under IRC Section 168(k) to have it applied to property in the year the property was placed into service. If property is owned, it is possible to have been allowed to take additional first-year special depreciation for qualified property in the current taxable year or an earlier taxable year. If this is the case, add or subtract an amount that makes the AGI equal the amount computed as if no bonus depreciation had been permitted. (The first-year special depreciation for qualified property includes 100% bonus depreciation.) If property subject to a modification under this add-back is sold or disposed of during the taxable year, use this add-back to report the previously disallowed depreciation. Enclose a statement to explain the adjustment being made. Income Tax Information Bulletin #118 (www.in.gov/dor/files/reference/ ib118.pdf) explains this initial required modification on the allowance of depreciation for state tax purposes. Special rules may apply if the bonus depreciation is taken against property acquired in a like-kind exchange. See Income Tax Information Bulletin #118 at www.in.gov/dor/files/reference/ ib118.pdf for additional information. 16 Excess IRC Section 179 Deduction (3-digit code: 105) Add or subtract the amount necessary to make the adjusted gross income of the taxpayer that placed any IRC Section 179 property in se
Extracted from PDF file 2021-indiana-it-20-booklet.pdf, last modified November 2021

More about the Indiana IT-20 Booklet Corporate Income Tax Tax Return TY 2021

We last updated the Current Year Corporate Adjusted Gross Income Tax Booklet with Forms and Schedules in January 2022, so this is the latest version of IT-20 Booklet, fully updated for tax year 2021. You can download or print current or past-year PDFs of IT-20 Booklet directly from TaxFormFinder. You can print other Indiana tax forms here.

Related Indiana Corporate Income Tax Forms:

TaxFormFinder has an additional 69 Indiana income tax forms that you may need, plus all federal income tax forms. These related forms may also be needed with the Indiana IT-20 Booklet.

Form Code Form Name
IT-20S Booklet Current Year S Corporation Income Tax Booklet with Forms and Schedules
IT-20S Form S Corporation Income Tax Forms and Schedules
Form IT-20 Corporate Adjusted Gross Income Tax Forms and Schedules
FIT-20 Booklet Current Year Financial Institution Tax Forms & Instruction Booklet
Form IT-20NOL Corporate Income Tax - Indiana Net Operating Loss Deduction
Form IT-20NP Nonprofit Organization Unrelated Business Income Tax Booklet with Forms and Schedules
Form IT-20X Amended Corporation Income Tax Return
Form IT-20REC Indiana Research Expense Tax Credit
FIT-20 Form Current Year Financial Institution Tax Forms and Schedules
Schedule IT-20 RECAP Combined Profit & Loss Statement of Indiana Unitary Group

Download all IN tax forms View all 70 Indiana Income Tax Forms


Form Sources:

Indiana usually releases forms for the current tax year between January and April. We last updated Indiana IT-20 Booklet from the Department of Revenue in January 2022.

Show Sources >

IT-20 Booklet is an Indiana Corporate Income Tax form. Like the Federal Form 1040, states each provide a core tax return form on which most high-level income and tax calculations are performed. While some taxpayers with simple returns can complete their entire tax return on this single form, in most cases various other additional schedules and forms must be completed, depending on the taxpayer's individual situation, to create a complete income tax return package.

About the Corporate Income Tax

The IRS and most states require corporations to file an income tax return, with the exact filing requirements depending on the type of company.

Sole proprietorships or disregarded entities like LLCs are filed on Schedule C (or the state equivalent) of the owner's personal income tax return, flow-through entities like S Corporations or Partnerships are generally required to file an informational return equivilent to the IRS Form 1120S or Form 1065, and full corporations must file the equivalent of federal Form 1120 (and, unlike flow-through corporations, are often subject to a corporate tax liability).

Additional forms are available for a wide variety of specific entities and transactions including fiduciaries, nonprofits, and companies involved in other specific types of business.

Historical Past-Year Versions of Indiana IT-20 Booklet

We have a total of eleven past-year versions of IT-20 Booklet in the TaxFormFinder archives, including for the previous tax year. Download past year versions of this tax form as PDFs here:


2015 IT-20 Booklet

IT-20 Booklet

Current Year Corporate Adjusted Gross Income Tax Booklet with Forms and Schedules.€ 2014 IT-20 Booklet

IT-20 Booklet

Current Year Corporate Adjusted Gross Income Tax Booklet with Forms and Schedules.€ 2013 IT-20 Booklet

IT-20 Booklet


TaxFormFinder Disclaimer:

While we do our best to keep our list of Indiana Income Tax Forms up to date and complete, we cannot be held liable for errors or omissions. Is the form on this page out-of-date or not working? Please let us know and we will fix it ASAP.

** This Document Provided By TaxFormFinder.org **
Source: http://www.taxformfinder.org/indiana/it-20-booklet