Missouri Information to Complete MO-1120
Extracted from PDF file 2021-missouri-form-mo-1120-ins.pdf, last modified December 2021
Information to Complete MO-1120ELECTRONIC FILING OPTIONS FOR CORPORATION TAX RETURNS Corporations may file Missouri MO-1120 Corporation Income tax returns electronically in conjunction with the IRS through Modernized E-File (MeF). This system has been developed through a cooperative effort between the IRS, states, and the software community. The system uses the latest electronic technology and industry standards. Corporations may visit the Department’s website at dor.mo.gov/taxation/business/ tax-types/corporation-income/efile.html for more information regarding electronic filing as well as a list of approved vendors that support corporate electronic filing. Corporations may choose from the following filing methods: 1. Federal and State Corporation tax returns may be prepared and filed electronically by an IRS approved Electronic Return Originator (ERO). Corporations may visit the IRS website to find a participating ERO at: irs.gov/e-file-providers/modernized-e-file-program-information. 2. Missouri MO-1120 Corporation Income tax returns can be prepared and transmitted as a stand-alone state return through an IRS approved ERO. Benefits of Electronic Filing Convenience • Security • Proof of Filing • FORM MO-1120 Direct Deposit of Refunds • Greater Accuracy MISSOURI REGISTRATION GENERAL INFORMATION Every corporation and S-Corporation must register with the Department of Revenue to receive a Missouri Tax Identification Number. To register, please contact: Missouri Department of Revenue, Taxation Division, P.O. Box 3300, Jefferson City, MO 65105-3300, visit mytax.mo.gov or This information is for guidance only and does not state the complete law. FILING REQUIREMENTS FOR FORM MO-1120 CORPORATION INCOME TAX call Business Registration at (573) 751-5860. Every corporation, as defined in Chapter 143, RSMo, is required to file a return of income in Missouri for each year it is required to file a federal income tax return and the corporation’s gross income from sources within Missouri is $100 or more. The tax on corporations will not apply to: TIME AND PLACE OF FILING AND PAYMENT Corporation income tax is due on or before the 15th day of the fourth month following the end of the tax year. Example: Taxable period of January 1, 2021, to December 31, 2021; due April 18, 2022. • A corporation, which by reason of its purposes and activities is exempt from federal income tax. The preceding sentence shall not apply to unrelated business taxable income and other income on which Chapter 1 of the Internal Revenue Code imposes the federal income tax or any other tax measured by income; Note: Any corporation filing a Federal Form 990, 990EZ, 990N, or 990PF should not send a copy of the federal form or any Missouri MO-1120 Corporation Income tax form to the Department of Revenue. Note: When the due date falls on a Saturday, Sunday, or a legal holiday, the return and payment will be considered timely if made on the next business day. If you have a refund or have no amount due, mail your return to: Missouri Department of Revenue, P.O. Box 700, Jefferson City, MO 65105-0700. If you have a balance due, payments must be postmarked by April 18, 2022, to avoid interest and late payment charges. The Department of Revenue offers several payment options. If you mail your payment after your return is filed, attach your payment to the Form MO-1120V. • An express company as defined in Chapter 153, RSMo, which pays an annual tax on its gross receipts, in this state; • An insurance company, which pays an annual tax on its gross premium receipts, in this state; • Check or money order: Attach a check or money order (U.S. funds only) payable to the Missouri Department of Revenue indicating the Missouri Tax Identification Number. • A Missouri mutual or an extended Missouri mutual insurance company organized under Chapter 380, RSMo; or • Any other corporation that is exempt from Missouri income taxation under the laws of Missouri or the laws of the United States. Mail to: Missouri Department of Revenue, P.O. Box 3365, Jefferson City, MO 65105-3365. Do not postdate. By submitting payment by check, you authorize the Department of Revenue to process the check electronically upon receipt. The Department of Revenue may electronically resubmit checks returned for insufficient or uncollected funds. Attach a copy of your Federal Form 1120. Corporations reporting taxable income on a federal return other than a Federal Form 1120 (such as Federal Forms 1120POL, 1120H, 1120SF, 1120REIT, 990T, or 1120C), shall attach a copy of the appropriate federal form and make the computations on Form MO-1120. A “candidate committee” set up under Section 130.011, RSMo, who is required by the Internal Revenue Code Section 527 to file a Federal Form 1120POL, but is not set up as a corporation, is not required to file Form MO-1120. • Electronic Bank Draft (E-Check): You can pay online at mytax.mo.gov/rptp/portal/omefileandpaybusinesstaxesonline or by calling (888) 929-0513. You will need to enter your bank routing number, checking account number. There will be a $.50 fee per filing period/ transaction to use this service. ADMINISTRATIVE DISSOLUTION • Credit Card: The Department accepts MasterCard, Discover, Visa, and American Express. For online payment information and convenience fee charges, visit: mytax.mo.gov/rptp/portal/omefileandpaybusinesstaxesonline. If a corporation required to file income tax fails to file and pay the tax within 90 days from the original due date (or 90 days from the extension due date), it shall forfeit its charter in this state under the provisions of Section 351.486. Note: The convenience fees charged are paid to the third party vendor, not to the Missouri Department of Revenue. By accessing this payment system, you will leave the Department’s website and connect to the third party vendor’s website, which is secure and confidential. 1 *14000000001* 14000000001 • For tax periods that the consolidated return and separate company return show an NOL that is carried back, attach a copy of the consolidated Federal Form 1139 or Federal Form 1120X. Also include the income statement for the loss year, the revised income statement for the amended tax period(s), and a schedule showing the calculation of the federal income tax deduction on the amended return. CONSOLIDATED FEDERAL RETURN AND SEPARATE MISSOURI RETURN A corporation, which is a member of an affiliated group filing a consolidated federal corporation income tax return, shall (if no Missouri consolidated return is filed) determine its federal taxable income as if it had filed a separate federal corporation income tax return for the year. Note: The corporation is required to file an amended return to adjust the federal income tax deduction for any tax period that the consolidated tax liability changes due to an NOL carryback, even if no loss exists to be carried back on a separate company basis. The corporation must enclose a pro forma Federal Form 1120, with all pertinent schedules, wherein its separate federal taxable income is computed with Form MO-1120. The first five pages of the actual consolidated federal corporation income tax return and an income statement, or a summary of profit companies for the year, must be attached. The complete consolidated federal return may be required upon an audit of the Missouri return. REPORTABLE TRANSACTION DISCLOSURE STATEMENT FEDERAL FORM 8886 The corporation’s federal income tax deduction will be a portion of the tax on consolidated Federal Form 1120. See Form MO-1120, Part 3. Every corporation must attach a copy of each Federal Form 8886 that was filed with the IRS as part of its federal return or as part of a consolidated federal return. SUBSIDIARIES INCLUDED IN THE FILING OF THIS RETURN If the corporation is filing a consolidated Missouri return, attach a separate schedule that lists the names of the subsidiaries, Federal Identification Numbers and Missouri Tax Identification Numbers. UNCERTAIN TAX POSITION STATEMENT FEDERAL SCHEDULE UTP A corporation must attach a copy of Federal Schedule UTP if the corporation has one or more tax positions that must be reported to the IRS on Schedule UTP and the schedule was filed with the IRS as part of its federal return or as part of a consolidated federal return. NET OPERATING LOSSES Corporations that file a Missouri return with a federal net operating loss (NOL) must treat the loss under the provisions of the Internal Revenue Code. Corporations that file a consolidated federal and separate Missouri return must compute the separate federal taxable income as if each member filed a separate federal return. In any year an NOL is carried forward or carried back, a corporation is required to provide a schedule detailing each NOL; the year of the loss, the amount of the loss, the loss previously utilized and the amount of the loss currently being utilized on a consolidated and separate company basis. DECLARATION OF ESTIMATED TAX Every corporation subject to income tax in this state must make a declaration of its estimated tax for the taxable year on Form MO-1120ES, if its Missouri estimated tax could reasonably be expected to be at least $250 (Section 143.521, RSMo). If an affiliated group of corporations files a Missouri consolidated income tax return for the taxable year, its Missouri estimated tax payments may be combined on Form MO-1120 (12 CSR 10-2.045(39)). For federal and Missouri purposes, a corporation can use the federal NOL incurred in one tax year to reduce the taxable income in another tax year. The NOL deduction cannot exceed the corporation’s taxable income (after special deductions). An NOL deduction cannot be used to increase a loss in a loss year or to create a loss in a profit year. A corporation may amend its declaration on Form MO-1120ES. A separate company is bound by the consolidated federal return election to carry losses forward or back, (i.e., if the loss is carried back on your federal return, the separate company loss must be carried back). If the loss is carried forward the corporation must provide detailed schedules reflecting the loss amount(s), year(s) of the loss, and year and amount of the loss utilized on a consolidated and separate company basis. Mail the declaration of estimated tax payments to: Missouri Department of Revenue, P.O. Box 3020, Jefferson City, MO 65105-3020. Make the check payable to Missouri Department of Revenue and include your Missouri Tax Identification Number on your check. EXTENSION OF TIME TO FILE AND PAY If the consolidated return shows taxable income and the separate company return shows a loss, the corporation may elect to carry the federal separate company loss forward or back pursuant to the Internal Revenue Code on a separate company basis in Missouri. The corporation must provide a copy of page 1 of the federal consolidated return for the separate company loss year. If a corporation has been granted an extension of time to file its federal income tax return, the time for filing the Missouri corporation income tax return is automatically extended. Select the box at the top of the form indicating you have an approved federal extension and attach a copy of the Federal Extension, Form 7004, to the MO-1120. (Failure to check this box may result in disallowing the extension.) The only NOL subject to carry forward or carry back is the loss from the federal tax return. Missouri does not have provisions for a state NOL deduction. A negative number on Form MO-1120, Lines 8, 9, or 14 is not an NOL. An extension of time to file does not extend the time for payment of the tax. The corporation must pay, on or before the original due date, the amount properly estimated. If you expect to owe tax, file Form MO-7004. If the corporation is required to file an amended Missouri return to carry back a federal NOL, provide the following information with the amended Form MO-1120: FILING AMENDED RETURNS • If the consolidated federal income is positive and you are carrying back a separate company loss, attach a copy of the consolidated Federal Form 1120 page 1 for the separate company loss year to confirm that there is no consolidated loss to be carried back. Form MO-1120 must be used for amending tax year 2015 and forward for corporation income tax. The corporation must complete the entire return using the corrected figures. Complete each line using the corrected amounts. Failure to fill out the entire return will delay the processing of the return. • If the consolidated federal return is a loss for the current tax period and the previous tax periods are consolidated losses, attach a copy of the consolidated Federal Form 1120 for the current tax period and the consolidated Federal 1120 for the tax period(s) being amended on a separate company basis. *14000000001* 14000000001 2 For amending tax years prior to the 2015 corporation income tax: • Amended Return — Check the box if the corporation is filing an amended return. • Form MO-1120 must be used for amending corporation income tax for tax years 1993–1999. • Name Change — Check this box if the corporation’s name has changed since filing the previous Form MO-1120. • Form MO-FT, must be used for amending corporation franchise tax for tax years 2000 and prior. • Address Change — Check this box if the corporation’s address has changed since filing the previous Form MO-1120. • Form MO-1120 and Form MO-FT must be used for amending corporation income tax years 2000-2014 and corporation franchise tax years 2001-2015. • Final Return and Close Corporation Income Tax Account — Check this box if the corporation ceased doing business during the tax period for which this return is being filed. • Form MO-1120X must be used for amending corporation income tax for tax year 1992 and prior. • Bankruptcy — Check this box if the corporation has filed for bankruptcy since filing the previous Form MO-1120 or if the corporation is still in bankruptcy. The amended return must contain a complete explanation of the reasons for filing the claim or amendment. You must attach any required schedules or forms to support your claim. If the amended return is submitted without the proper attachments it may be partially or totally denied. • 1120C — Check this box if the corporation filed Federal Form 1120C. Per Section 143.511, RSMo, the effective due date for entities filing Federal Form 1120C is the same as the federal due date. For calendar year filers, this is September 15, 2021. For fiscal year filers, the due date is the 15th day of the ninth month following the close of the taxable year. Note: Form MO-1120, Parts 4 and 5 must be completed when applicable. A corporation must file an amended return within 90 days of filing an amended federal income tax return or within 90 days after the final determination of changes made by the Internal Revenue Service (12 CSR 10-2.105 and Section 143.601, RSMo). Attach a copy of the amended federal return with applicable schedules (e.g., Federal Revenue Agent’s Report, Form 1139, Form 1120X). If the federal return was not amended, explain why the corporation is amending the Missouri return and accompany the explanation with applicable schedules. For Missouri forms, access the Department of Revenue’s website at dor.mo.gov/forms/. • 990T — Check this box if the corporation filed Federal Form 990T. Per Section 143.511, RSMo, the effective due date for entities filing Federal Form 990T is the same as the federal due date. For calendar year filers, this is May 16, 2022. For fiscal year filers, the due date is the 15th day of the fifth month following the close of the taxable year. • All Missouri source income is from an interest(s) in a partnership(s)— Check this box if the corporation owns a percentage of a partnership(s). The partnership(s)’ factor(s) must be multiplied by the corporation’s percentage of ownership, and then added into the corporation’s apportionment factor by completing Form MO-MS. CONTACT INFORMATION If you have any questions, you may contact Corporate Tax at (573) 751-4541 or by email at [email protected] • Public Law 86-272 — Check this box if Missouri cannot impose income tax on this corporation because the corporation meets the requirement(s) of P.L. 86-272. FORM MO-1120 MISSOURI CORPORATION TAX LINE-BY-LINE INSTRUCTIONS • LINE 1 - FEDERAL TAXABLE INCOME At the top of the return, fill in the blanks indicating the beginning and ending dates of the tax period. The corporation’s accounting period and method of accounting for Missouri corporation income tax purposes must be the same as for federal income tax purposes (12 CSR 10-2.030, 12 CSR 10-2.035, and Sections 143.271 and 143.281, RSMo). Enter the total amount of federal taxable income from Federal Form 1120, Line 30. The line numbers for federal taxable income will differ on other federal forms (1120POL, 1120H, 1120SF, 1120REIT, 990T, and 1120C). LINE 2 - MISSOURI CORPORATION INCOME TAX & CORPORATION INCOME TAX OF OTHER STATES DEDUCTED IN DETERMINING FEDERAL TAXABLE INCOME NAME AND ADDRESS SECTION The corporation’s Missouri Tax I.D. Number, Charter Number, and Federal I.D. Number must be entered in the spaces provided. Failure to include the Missouri Tax I.D. Number and Charter Number will delay the processing of the return. Please contact Business Registration at (573) 751-5860 if you cannot locate or do not have a Missouri Tax I.D. Number. Enter the amount of Missouri corporation income tax deducted in determining federal taxable income (Section 143.141(1), RSMo), and the amount of corporation income taxes from other states, their subdivisions and the District of Columbia deducted in determining federal taxable income (12 CSR 10-2.160 and Section 143.141(2), RSMo). Do not include St. Louis or Kansas City earnings taxes. A schedule must be attached showing the breakdown of taxes on Federal Form 1120, Line 17. FEDERAL EXTENSION Select this box if you have an approved federal extension. Attach a copy of the approved Federal Extension, Form 7004. (Failure to check this box may result in disallowing the extension.) Corporation tax of the following states taken as a deduction in determining federal taxable income, must be included on Line 2: RETURN TYPE • Consolidated Missouri Return — Check this box if filing a consolidated Missouri return. In order to file a consolidated Missouri return, the corporation must be part of a consolidated federal return (12 CSR 10-2.045 and Section 143.431, RSMo). Form MO-22 must be included for each member of the consolidated group when filing the initial consolidated Form MO-1120 and for each new member added thereafter. • Consolidated Federal and Separate Missouri Return — Check this box if filing a consolidated federal return and a separate Missouri return. The following information must be included with the Form MO-1120: (1) pro forma Federal Form 1120 plus schedules; (2) consolidated Federal Form 1120; (3) consolidated Schedule J; and (4) income statement showing the income and loss of all corporations included in the consolidated group. Alabama Alaska Arizona Arkansas California Hawaii Idaho Illinois (income & franchise tax) Indiana Iowa Kansas Kentucky Louisiana Maine Maryland Michigan Colorado Delaware Florida Georgia (excludes net worth tax) 3 (includes replacement tax) Minnesota Mississippi Missouri Montana Nebraska New Mexico North Carolina North Dakota Oklahoma Oregon Pennsylvania Rhode Island South Carolina (excludes capital stock tax) South Dakota Tennessee (excise tax) Texas Utah Vermont Virginia West Virginia *14000000001* 14000000001 under Internal Revenue Code section 854, as amended. This amount may have been included in Federal Form 1120, Schedule C, Line 20, Column (a). LINE 3 - MISSOURI MODIFICATIONS - ADDITIONS Enter the net amount from Page 3, Part 1, Line 6. See instructions for completing Part 1. • Any dividend received from a real estate investment trust (REIT) which, for the taxable year of the trust in which the dividend is paid, qualifies under part II of subchapter M of chapter 1 of subtitle A of the Internal Revenue Code, as amended. This amount may have been included in Federal Form 1120, Schedule C, Line 20, Column (a). LINE 4 - TOTAL ADDITIONS Enter the total of Line 2 and Line 3. LINE 5 - MISSOURI MODIFICATIONS - SUBTRACTIONS • Global Intangible Low-Taxed Income (GILTI) will only be included in the Missouri Dividends Deduction to the extent that the controlled foreign corporation to which the GILTI relates is commercially domiciled in Missouri. Such situations, if possible, are anticipated to be rare. Enter the net amount from Page 3, Part 2, Line 14. See instructions for completing Part 2. LINE 6 - BALANCE Enter the total of Line 1 and Line 4 less Line 5. LINE 11 - ENTERPRISE ZONE OR RURAL EMPOWERMENT INCOME MODIFICATION LINE 7 - FEDERAL INCOME TAX - CURRENT YEAR Enter the amount of modification as approved by the Missouri Department of Economic Development. Enter the amount from Page 4, Part 3, Line 3 or Line 6. See the instructions for completing Part 3. Consolidated federal or separate Missouri filers must compute the federal income tax deduction per 12 CSR 10-2.090. LINE 12 - BRING JOBS HOME DEDUCTION If your corporation accrued expenses associated with relocating a business to Missouri you may be eligible for this deduction. Enter the amount of the Bring Jobs Home Deduction approved by the Missouri Department of Economic Development. For additional information visit ded.mo.gov/ or contact the Missouri Department of Economic Development at P.O. Box 118, Jefferson City, MO 65102-0118. The amount of the deduction cannot exceed Line 9 less Lines 10 and 11. LINE 8 - TAXABLE INCOME (ALL SOURCES) Enter the total of Line 6 less Line 7. LINE 9 - PRELIMINARY MISSOURI TAXABLE INCOME If taxable income is 100 percent from Missouri sources, enter the amount from Line 8. If taxable income is not 100 percent from Missouri sources, complete Form MO-MS. Enter the apportionment method number used (apportionment election 2a, 3, 4, 5, 6, or 7) and the appropriate percentage (rounded to three digits to the right of the decimal point, such as 12.345 percent) from Form MO-MS in the boxes provided. Multiply Line 8 by the percentage and enter the result on Line 9. If the corporation owns a percentage of a partnership(s), the partnership factors must be multiplied by the corporation’s percentage of ownership, and then added into the corporation’s apportionment factors by completing Form MO-MS. LINE 13 - TRANSPORTATION FACILITIES DEDUCTION If your corporation received approval from the Department of Economic Development to claim one or more of the Transportation Facilities Deductions allowed under Section 143.2105, 143.2110, and 143.2115, RSMo, select the approved deduction(s) and enter the approved amount on Line 13. The Qualified Trade Activities deduction cannot exceed 50% of a taxpayer’s Missouri Taxable Income. Attach a schedule detailing the deduction(s) and amount(s) claimed. LINE 14 - MISSOURI TAXABLE INCOME Enter the total of Line 9 less Lines 10, 11, 12, and 13. Do not enter a negative number. If the result is less than zero, enter zero. LINE 10 - MISSOURI DIVIDENDS DEDUCTION If income is 100 percent from Missouri sources, calculate the net dividend deduction by subtracting Federal Form 1120, Line 29b from Federal Form 1120, Line 4, except as noted below. LINE 15 - CORPORATION INCOME TAX Enter the amount of Line 14 multiplied by 4 percent. Income tax cannot be prorated or annualized. If income is not 100 percent from Missouri sources, complete Form MO-C and determine the source of dividends according to the location of payor. If payor is commercially domiciled in Missouri, the dividends are Missouri-source dividends. The total Missouri-source dividends (except for the dividends entered on Form MO-C, Line 25) are then multiplied by a percentage factor. This percentage factor is from Form MO-MS, Part 1, Line 3. For taxpayers using any other apportionment method, this percentage factor is on Form MO-1120, Line 9 Percent. After multiplying the Missouri-source dividends (other than nonapportionable Missourisource dividends) by the appropriate percentage factor, enter the result on Form MO-C, Line 28. If you included any Missouri-source dividends on Form MO-MS, Part 1, Line 9, enter the amount of those dividends on Form MO-C, Line 25. LINE 16 - RECAPTURE OF MISSOURI LOW INCOME HOUSING CREDIT If your corporation is required to recapture a portion of any federal low income housing credit(s) taken on a low income housing project, your corporation is also required to recapture a portion of any Missouri credits. The Missouri recapture amount is equal to the proportion of the Missouri credit that equals the proportion the federal recapture amount bears to the original federal low income housing credit amount subject to recapture (Section 135.355.2, RSMo). You must attach to your Missouri return a copy of your Federal Form 8611. LINE 17 - TOTAL TAX Enter the total of Lines 15 and 16. LINE 18 - TAX CREDITS Note: Do not treat the following as dividends, even if income is 100 percent from Missouri sources. Enter the total from Form MO-TC, Line 13. Access the Department of Revenue’s website at: dor.mo.gov/ to download Form MO-TC. • Any amount allowed as a federal deduction under Internal Revenue Code section 591, as amended (relating to deduction for dividends paid by mutual savings banks, etc.). This amount is not included on Federal Form 1120, Schedule C. • Any dividend received from a regulated investment company (RIC) that is not treated or considered as a dividend for purposes of Internal Revenue Code section 243(a), as amended, LINE 19 - ESTIMATED TAX PAYMENT(S) Enter the total 2021 estimated payment(s) made with Form MO-1120ES. Include any approved overpayment(s) credited from 2020. If the requested overpayment(s) credited from 2020 has been adjusted, you must use the adjusted amount. 4 *14000000001* 14000000001 If filing a consolidated Missouri return, Form MO-851 (Affiliations Schedule) or a complete list of subsidiary payments must be attached to Form MO-1120. The list must include each corporation’s Missouri Tax I.D. Number. Workers’ Memorial Fund - This fund has been established to create a permanent memorial for all workers who suffered a job related death or injuries that resulted in a permanent disability while on the job in Missouri. Requests for information and contributions may be made at any time to: Workers’ Memorial Fund, ATTN: Director’s Office, 412 E. Dunklin St., Jefferson City, MO 65101. (Minimum contribution: $1) Enter on Line 19 the total amount withheld from 2021 total compensation as a nonresident entertainer, as shown on Form(s) MO-2ENT, Line 6. Attach copies of Form MO-2ENT. LINE 20 - PAYMENTS WITH FORM MO-7004 Childhood Lead Testing Fund - Activities supported by this fund ensure that Missouri children at risk for lead poisoning are tested and receive appropriate follow-up activities to protect their health and well being from the harmful effects of lead. For more information please contact the Missouri State Public Health Laboratory at (573) 751-3334, or e-mail [email protected] (Minimum contribution: $1) Enter the total payment(s) made with Form MO-7004. LINE 21 - AMENDED RETURN ONLY: TAX PAID WITH (OR AFTER) THE FILING OF THE ORIGINAL RETURN Enter the amount of tax previously paid on the original return and any previously filed amended return. Missouri Military Family Relief Fund - For more information, please contact: Missouri Military Family Relief Fund, 2302 Militia Drive, ATTN: JFMO-J1/SS, Jefferson City, MO 652011203. (Minimum contribution: $1) LINE 22 - SUBTOTAL Enter the total of Lines 18 through 21. General Revenue Fund - Requests for information and contributions may be made at any time directly to General Revenue Fund, ATTN: Department of Revenue, P.O. Box 3022, Jefferson City, MO 65105-3022. (Minimum contribution: $1) Enter of Lines 18, RETURN 19, 20, and ONLY: 21. LINEthe 23total - AMENDED OVERPAYMENT, IF ANY, AS SHOWN ON ORIGINAL RETURN OR AS LATER ADJUSTED Organ Donor Program Fund - Contributions support organ and tissue donation education and registry operation. For more information, please contact Missouri Department of Health and Senior Services, Organ and Tissue Donor Program, P.O. Box 570, Jefferson City, MO 65102-0570, or call (888) 497-4564. (Minimum contribution: $2) Enter the amount of overpayment received (or expected to be received) or the amount to be credited to estimated tax, as shown or adjusted on the original return. Any refund due on the original return will be refunded separately from any additional refund claimed on the amended return. LINE 24 - TOTAL Kansas City Regional Law Enforcement Memorial Foundation Fund The Regional Law Enforcement Memorial Garden honors and celebrates the men and women who have laid down their lives in the line of duty. Donations can be made directly to Kansas City Regional Law Enforcement Memorial Foundation Fund at 527 W 39th Street (132.24 mi) Kansas City, MO 64111. Enter Line 22 less Line 23. LINE 25 - OVERPAYMENT Enter the overpayment if Line 24 is greater than Line 17. LINE 26 - FUND CONTRIBUTIONS Soldiers Memorial Military Museum in St. Louis Fund - Supports Soldiers Memorial Military Museum in honoring military service members, veterans, and their families, and sharing St. Louis’s involvement in the nation’s military history from the American Revolution through today. Donations can be made directly to Soldiers Memorial Military Museum Fund at P.O. Box 775460 1315 Chestnut St., St. Louis, MO, 63103. Enter any portion of your corporation income tax overpayment you wish to contribute to the following funds. If you file a balance due return and wish to contribute to the funds, enter the amount in the appropriate box and attach a separate check for this amount. Children’s Trust Fund — Children’s Trust Fund, Missouri’s Foundation for Child Abuse Prevention, is a non-profit organization dedicated to the vision of children free to grow and reach their full potential in a nurturing and healthy environment free from child abuse and neglect. For more information, please contact: Children’s Trust Fund, ctf4kids.org or call (888) 826-5437. (Minimum contribution: $2) Additional Funds If you choose to give to additional funds, enter the two-digit fund code (see below) in the spaces provided on Line 26. If you want to give to more than two additional funds, please submit a contribution directly to the fund. See dor.mo.gov/taxation/individual/trust-funds.html for additional information. Veterans Trust Fund — The Missouri Veterans Commission’s Veterans Trust Fund is a means by which individuals and corporations may donate money to expand and improve services to veterans in Missouri. Contributions may be made at any time directly to: Veterans Trust Fund, c/o The Missouri Veterans Commission, P.O. Drawer 147, Jefferson City, MO 65102-0147 or call (573) 751-3779. (Minimum contribution: $2) Donations received from the following funds are designated specifically for Missouri residents. Funds American Cancer Society Heartland Division, Inc., Fund . . . . . . . . . 01 American Diabetes Association Gateway Area Fund. . . . . . . . . . . . 02 American Heart Association Fund. . . . . . . . . . . . . . . . . . . . . . . . . . . . 03 Amyotrophic Lateral Sclerosis (ALS—Lou Gehrig’s Disease) Fund. . . 05 Muscular Dystrophy Association Fund. . . . . . . . . . . . . . . . . . . . . . . . 07 March of Dimes Fund. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 08 Arthritis Foundation Fund. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 09 National Multiple Sclerosis Society Fund. . . . . . . . . . . . . . . . . . . . . . . 10 Foster Care and Adoptive Parents Recruitment and Retention Fund . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14 Pediatric Cancer Research Fund . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18 Elderly Home Delivered Meals Trust Fund - The Elderly Home Delivered Meals Trust Fund supports the home delivered meals program for Missouri’s home-bound senior citizens, helping them to continue to live independently in their homes. The need for home delivered meals increases yearly as persons are living longer and may need assistance. For more information, please contact: health.mo.gov/seniors/aaa/index.php. (Minimum contribution: $2) Missouri National Guard Trust Fund - The Missouri National Guard Trust Fund expands the capability to provide or coordinate Military Funeral Honors Ceremonies for veterans of Missouri and veterans buried in Missouri who have served their country in an honorable manner. Contributions may be made at any time directly to Missouri National Guard Trust Fund, ATTN: JFMO-J1/SSH, 2302 Militia Drive, Jefferson City, MO 65101-1203 or call (573) 638-9663. (Minimum contribution: $2) Codes 5 *14000000001* 14000000001 American Cancer Society Heartland Division, Inc., Fund (01) — For more information anytime, call toll free (800) ACS-2345 or visit cancer.org. Donations can be sent directly to the American Cancer Society at 1100 Pennsylvania Avenue, Kansas City, MO 64105. (Minimum irrevocable contribution: $1, not to exceed $200) LINE 29 - UNDERPAYMENT Enter the underpayment if Line 17 is larger than Line 24. LINE 30 - INTEREST, PENALTY, UNDERPAYMENT OF ESTIMATED TAX American Diabetes Associat ion Gateway Area Fund (02) — Request for information may be made by calling (314) 822-5490 or contacting Gateway Area Diabetes Association Fund, 15455 Conway Road, Suite 360, Chesterfield, MO 63017. (Minimum irrevocable contribution: $1, not to exceed $200) Enter the amount of interest computed. Simple interest is charged on all delinquent taxes from the due date of the return until the payment is received. The simple interest rate, effective January 1, 2022, is 3 percent per annum (Section 32.065, RSMo). American Heart Association Fund (03) - For more information, please contact: American Heart Association, 460 N. Lindbergh Blvd., St. Louis, MO 63141-7808, or call (314) 692-5600. (Minimum irrevocable contribution: $1, not to exceed $200) Enter the amount of penalty computed. If the return is not filed by the due date, including extensions of time to file, a penalty of 5 percent (of the unpaid tax) per month (not to exceed 25 percent in the aggregate) is charged during the period of such failure. PENALTY - FAILURE TO FILE ALS Lou Gehrig’s Disease Fund (05) - Call (888) 873-8539 for patient services in Eastern Missouri and (800) 878-2062 for patient services in Western Missouri. (Minimum irrevocable contribution: $1, not to exceed $200) PENALTY - FAILURE TO PAY If the tax due is not paid, by the original due date of the return, regardless of an extension of time to file, a, penalty of 5 percent (of the unpaid tax) is charged. Arthritis Foundation Fund (09) - Call (314) 991-9333 or visit arthritis.org. Contributions can be made at any time directly to the Arthritis Foundation, 9433 Olive Blvd. Suite 100, St. Louis, MO 63132. (Minimum irrevocable contribution: $1, not to exceed $200) UNDERPAYMENT OF ESTIMATED TAX Enter the additions to tax for underpayment of estimated tax from Form MO-2220, Line 26. If the total payment and credit amount on Line 24 is less than 90 percent of the amount on Line 15, or if the estimated tax payments were not paid in full or timely, additions to tax for failure to pay enough estimated taxes may be owed. However, the corporation may be able to meet one of the exceptions explained on Form MO-2220. Attach a completed Form MO-2220. If there is an overpayment on Line 25, the Department of Revenue will reduce the overpayment by the additions to tax amount (12 CSR 10-2.067 and Section 143.761, RSMo). Foster Care and Adoptive Parents Recruitment and Retention Fund (14) - For more information please contact: Missouri Children’s Division, P.O. Box 88, Jefferson City, MO 65103-0088 or call (573) 522-8024. (Minimum contribution: $1) March of Dimes Fund (08) - Send requests for information and contributions directly to the March of Dimes Fund, 11829 Dorsett Road, Maryland Heights, MO 63043. (Minimum irrevocable contribution: $1, not to exceed $200) LINE 31 - TOTAL DUE Muscular Dystrophy Association Fund (07) Requests for information and contributions may be made at any time directly to: Muscular Dystrophy Association, 222 South Riverside Plaza, Suite 1500, Chicago, IL 60606; (312) 260-5900. (Minimum irrevocable contribution: $1, not to exceed $200) Enter the total of Line 29 and Line 30. Refer to Page 1, “Time and Place of Filing and Payment” for payment options. AUTHORIZATION National Multiple Sclerosis Society Fund (10) Visit nationalmssociety.org, call (800)FIGHTMS, or contact National Multiple Sclerosis Society Fund, 12125 Woodcrest Executive Drive, Suite 320, St. Louis, MO 63141. (Minimum irrevocable contribution: $1, not to exceed $200) Check the “yes” box for authorization of release of confidential information. This authorizes the Missouri Director of Revenue or delegate to discuss this return and attachments with the preparer whose signature appears on the Form MO-1120 or with any member of his or her firm or if internally prepared, any member of the internal staff. If the authorization box is checked “no”, or if no box is checked, the Missouri Director of Revenue or delegate can only discuss this return with an officer of the corporation. Refer to Section 32.057, RSMo. Pediatric Cancer Research Trust Fund (18) - CureSearch for Children’s Cancer raises funds to support children’s cancer research. For more information, visit curesearch.org or call (800) 458-6223. (Minimum contribution: $1) SIGNATURE LINE 27 - OVERPAYMENT TO BE APPLIED TO NEXT FILING PERIOD The Department of Revenue requires the return to be signed by an officer of the corporation. Enter the date signed, the title of the officer whose signature is affixed, and the corporation’s telephone number. Lines are provided for the preparer’s signature (other than taxpayer), Federal I.D. Number, telephone number, and date. Failure to sign the return will cause a delay in the processing of the return. If a paid tax return preparer prepared this return and failed to sign the return or enter the preparer’s tax identification number on the return, the paid tax return preparer may be penalized under Section 143.980, RSMo. Enter the amount of overpayment to be applied to the next filing period. If filing an amended return do not include the original amount requested to be applied to the next filing period. LINE 28 - REFUND Enter the total of Line 25 less Line 26 and Line 27. This is the amount to be refunded. No refund of less than $1.00 will be made. If there is any other liability owed the state of Missouri, the refund may be applied to that liability (Sections 143.781, 143.782, 143.783, and 143.784, RSMo). The corporation will be notified if any debts are offset with the refund. The Department requires approved refunds of $100,000 or more to be issued electronically. If claiming a refund of this amount, complete Form 5378 and submit with your return. The form is available at dor.mo.gov/forms. Failure to include the form and all required documentation will delay the processing of your return. 6 *14000000001* 14000000001 FORM MO-1120, PAGE 3 AND 4 LINE-BY-LINE INSTRUCTIONS Part 2 - Subtractions LINE 1 - INTEREST AND DIVIDENDS FROM EXEMPT FEDERAL OBLIGATIONS (MUST ATTACH SCHEDULE) A detailed explanation of any modification must be attached to the return. Failure to attach such explanation will delay the processing of the return. Part 1 - Additions Enter on Line 1a the amount of interest and dividends from federal obligations to the extent they are exempt from Missouri corporation income tax, but subject to federal tax (12 CSR 10-2.150 and Section 143.121.3(1), RSMo). A detailed list showing the amount of monies received or the percentage of funds received from direct U.S. Government obligations must be attached to Form MO-1120. LINE 1 - STATE AND LOCAL BOND INTEREST (EXCEPT MISSOURI) Enter on Line 1a all interest from state and local bonds, excluding Missouri (Section 143.121.2(2), RSMo). Enter on Line 1b the amount of expenses associated with the state and local bond interest shown on Line 1a. The expenses must exceed $500. Refer to Section 143.121.2(2), RSMo, for further explanation. Enter on Line 1 the net amount of Line 1a less Line 1b. Enter on Line 1b the amount of interest on indebtedness and expenses associated with the production of interest and dividend income on federal obligations shown on Line 1a. The expenses must exceed $500. Refer to Section 143.121.3(1), RSMo, for further explanation. In arriving at the amount of related expenses, the taxpayer may use actual expenses or a reasonable estimate. In general, the taxpayer should use the same or similar method to that used to compute related expenses for federal income tax purposes, provided that the method reasonably reflects related expenses for Missouri exempt income. LINE 2 - FIDUCIARY AND PARTNERSHIP ADJUSTMENT (FROM FORM MO-1041 AND FORM MO-1065) Enter the share of fiduciary and partnership adjustment as shown on Form MO-1041, Page 2, Part 1, Line 19, and Form MO-1065, Line 11 (Section 143.121.4 and 5, RSMo). A copy of Forms MO-1041 and MO-1065, must be attached to the Form MO-1120. If a taxpayer fails to compute reasonable related expenses, the Director of Revenue will make adjustments based on the information available. If sufficient information is not available, the Director of Revenue will use the following formula to compute related expenses: LINE 3 - NET OPERATING LOSS MODIFICATION Exempt Income Total Income If a net operating loss deduction is allowed for this tax year, and if, in the tax year of the corresponding net operating loss, the total addition modifications exceeded total subtraction modifications, enter the smaller of: (a) The net operating loss deduction attributable to the loss year (the tax year in which the net operating loss occurred); or (b) The cumulative net operating loss deductions attributable to the loss year that are allowed for this tax year and all prior tax years plus the net addition modification (amount that addition modification exceed the subtraction modifications) for the loss year minus the total net operating loss for the loss year. X Expense Items = Reduction to Exempt Income The principal expense item in this formula is interest expense; however, the Director of Revenue may include other expense items because of their direct relationship to the production of exempt income. The taxpayer may propose an alternative method provided that it properly reflects the amount of related expenses. Enter on Line 1 the net amount of Line 1a less Line 1b. LINE 2 - FEDERALLY TAXABLE MISSOURI EXEMPT OBLIGATION The above items are each considered to be a positive amount for purposes of this calculation. If the result of combining amounts is negative, enter zero. The amount of any bond issued by the Missouri Higher Education Loan Authority (MOHELA) including interest or proceeds resulting from the sale of the bond is exempt from Missouri tax. If the amount is included in federal taxable income, the amount can be subtracted from federal taxable income for Missouri tax purposes pursuant to Section 173.440, RSMo. Enter the exempt amount on Line 2 and provide documentation with the return. If the total net operating loss deduction for this tax year consists of net operating losses from more than one tax year, calculate the modifications separately for each loss and enter the total. If the total addition modifications exceed the total subtraction modifications in the tax year of the net operating loss, attach Form MO-5090, Net Operating Loss Modification Worksheet. (Section 143.431.4, RSMo). LINE 3 - AGRICULTURAL DISASTER RELIEF Note: The net operating loss is taken into account on Form MO-1120, Line 1. Enter the amount of income your corporation received as payment from any program which provides compensation to agricultural producers who have suffered a loss as the result of a disaster or emergency (Section 143.121.3(10), RSMo). You must attach a copy of the Form 1099 indicating your agricultural payment. For additional information, visit dor.mo.gov. LINE 4 - DONATIONS CLAIMED FOR THE FOOD PANTRY TAX CREDIT THAT WERE DEDUCTED FROM FEDERAL TAXABLE INCOME Enter the total amount of donations claimed for the Food Pantry Tax Credit (Form MO-1120, Line 18) that were also taken as a deduction on the Federal Form 1120 return (Section 135.647, RSMo). LINE 4 - PREVIOUSLY TAXED INCOME Enter the amount of any income or gain included in federal taxable income to the extent it was properly reported as income or gain on a prior Form MO-1120, Corporation Income Tax Return, filed under Missouri laws in effect prior to January 1, 1973 (12 CSR 10-2.025 and Section 143.121.3(3), RSMo). LINE 5 - BUSINESS INTEREST EXPENSE CARRYFORWARD Enter any interest expense paid or accrued in a previous taxable year, but allowed as a deduction under 26 U.S.C. Section 163, as amended, in the current taxable year by reason of the carryforward of disallowed business interest provisions of 26 U.S.C. Section 163(j), as amended. (Section 143.121.2(6), RSMo) LINE 5 - AMOUNT OF ANY STATE INCOME TAX REFUND INCLUDED IN FEDERAL TAXABLE INCOME Enter the amount of any state income tax refund for a prior year that was included in the federal taxable income for the current year (Section 143.121.3(5), RSMo). LINE 6 - TOTAL Add Line 1 through Line 5. Enter the total amount of Line 1 through Line 5. Also enter amount on Form MO-1120, Line 3. 7 *14000000001* 14000000001 LINE 14 - TOTAL LINE 6 - CAPITAL GAIN EXCLUSION FROM THE SALE OF LOW INCOME HOUSING PROJECT Add Line 1 through Line 13. Enter the amount on Line 14 and on Form MO-1120, Page 1, Line 5. Enter the excludable amount of gain resulting from the sale of a low income project subsidized by the Federal Department of Housing and Urban Development to a nonprofit or governmental organization, agreeing to preserve or increase the low income occupancy of the project. A copy of Federal Form 4797 must be attached to verify the exclusion. Part 3 - Federal Income Tax Enter the amounts of federal income tax on Line 1 and Line 2. The instructions for entering the federal income tax are found on each line number. The line numbers will differ on other federal forms (1120POL, 1120H, 1120REIT, 990T, and 1120C). Add Line 1 and Line 2; multiply total by 50 percent; and enter the result on Line 3 and on Form MO-1120, Page 1, Line 7. For those owners whose low income project has at least 40 percent of its units occupied by persons or families having income of 60 percent or less of the median income, the exclusion shall equal 25 percent of the capital gain. If filing a consolidated federal and separate Missouri return, the federal income tax deduction must be computed as follows: LINE 7 - FIDUCIARY AND PARTNERSHIP ADJUSTMENT (FROM FORM MO-1041 AND FORM MO-1065) LINE 1 Enter federal tax from the consolidated Schedule J, Line 11. Enter the share of fiduciary and partnership adjustment as shown on Form MO-1041, Page 2, Part 1, Line 20 and Form MO-1065, Line 12 (Section 143.121.4 and 5, RSMo). A copy of Forms MO-1041 and MO-1065 must be attached to the Form MO-1120. LINE 2 Enter the foreign tax credit from the consolidated Schedule J, Line 5a. LINE 3 LINE 8 - MISSOURI DEPRECIATION BASIS ADJUSTMENT Enter on Line 8 the difference between the federal and Missouri depreciation calculated on assets purchased between July 1, 2002 and June 30, 2003. See Section 143.121.3(7), RSMo, for more information. Add Lines 1 and 2 and enter 50% of total. LINE 4 Enter the amount of separate company federal taxable income. LINE 9 - SUBTRACTION MODIFICATION OFFSETTING PREVIOUS ADDITION MODIFICATION FROM A NET OPERATING LOSS (NOL) DEDUCTION FROM AN APPLICABLE YEAR LINE 5 Enter the total of all positive separate company federal taxable incomes. Do not include companies which incurred a loss. LINE 6 Enter on Line 9 any applicable net operating loss carryback that was previously treated as an addition modification on the Missouri return because the net operating loss was carried back more than two years from the loss year on the federal return. For example, any applicable 2018 through 2020 NOL carryback that was previously treated as an addition modification on the Missouri return for the 2013 through 2017 tax years. Do not enter a loss amount that has previously been reported on Line 9 for a prior tax year. Do not enter any loss amount if the tax year for which this return is filed is more than twenty years past the year of the initial loss. Do not enter any loss amount which was treated as an addition modification pursuant to (Section 143.121.2(4), RSMo), on or before June 18, 2002. (Section 143.121.2(4), RSMo). Divide Line 4 by Line 5 and enter the percentage in the box on Line 6 (round percentage to four digits to the right of the decimal point, such as 12.3456 percent). Multiply Line 3 by the percentage and enter on Part 3, Line 6 and on Form MO-1120, Page 1, Line 7. Refer to 12 CSR 10-2.090 and 12 CSR 10-2.165 for further explanation. Attach the consolidated Federal Form 1120, consolidated Schedule J, and an income statement or summary of profit companies. Part 4 - Amended Reason Check the box that indicates the reason for filing this amended return. A separate Form MO-1120 must be completed for each reason. The applicable Federal Form 1139, 1120X, 4549, 4549A, 870AD, or 5278 must be attached. Note: Only enter the amount needed on this return. A separate Form MO-1120 must be filed for each amendment reason. If there is more than one loss year carryback, a separate Form MO-1120 must be filed for each loss year. For example, if you have an IRS audit or federal correction that includes a Net Operating Loss, one amended return must be filed for the federal audit and a separate amended return must be filed for the NOL. LINE 10 - DEPRECIATION RECOVERY ON QUALIFIED PROPERTY THAT IS SOLD Enter on Line 10 any depreciation that was previously not recovered when an asset is sold or otherwise disposed of and federal bonus depreciation was previously taken (Section 143.121.3(9), RSMo). The amended return must contain a complete explanation of the reason(s) for filing the claim or amendment. You must attach any required schedules or forms to support your claim. If the amended return is submitted without the proper attachments it may be partially or totally denied. LINE 11- BUILD AMERICA AND RECOVERY ZONE BOND INTEREST Enter the share of Build America and Recovery Zone Bond interest received (Section 108.1020, RSMo). Part 5 - Amended Return Loss Carryback or Federal Tax Credit Carryback LINE 12 - MISSOURI PUBLIC-PRIVATE PARTNERSHIPS TRANSPORTATION ACT Enter the share of income received under the Missouri Public-Private Partnerships Transportation Act (Section 227.646, RSMo). Complete when there is a loss carryback or credit carryback. A loss would include an NOL, capital loss, or product liability loss. A loss carryback is required to be filed by the 15th day of the 39th month following the end of the loss year (Section 143.801.6, RSMo). Lines 2 and 3 should reflect the total net operating loss or capital loss carryback. LINE 13 - DISALLOWED BUSINESS INTEREST EXPENSE Enter any interest expense paid or accrued in the current taxable year, but not deducted on the federal return as a result of the limitation imposed under 26 U.S.C. Section 163(j), as amended. (Section 143.121.3(11), RSMo) 8 Line 4 should reflect the difference between the original and amended federal income tax deductions for Missouri Form MO-1120, Line 7. A separate Form MO-1120 must be filed for each loss year carryback. Note: Missouri does not allow an NOL to be carried back more than two years; the amount of an NOL carried back more than two years results in an addition modification for the carryback year. (Section 143.121.2(4), RSMo). An NOL disallowed (added back) on this basis may be carried forward for 20 years from the loss year. See Form MO-1120, Part 2, Line 9. METHOD THREE Transportation — Section 143.455.14, RSMo. METHOD FOUR Railroad — Section 143.455.15, RSMo. ASSEMBLE YOUR RETURN METHOD FIVE Assemble any forms and schedules behind Form MO-1120. If you have supporting documentation, arrange in the same order of the forms and schedules they support and attach behind the schedule they support. Interstate Bridge — Section 143.455.16, RSMo. METHOD SIX Telephone and Telegraph — Section 143.455.17, RSMo. RELEASE OF INFORMATION METHOD SEVEN The Department of Revenue can only release confidential information to corporate officers, authorized individuals having power of attorney, the preparer, or any member of his or her firm, or if internally prepared, any member of the internal staff, when the authorization box is checked. When the authorization box is checked, this authorizes the Missouri Director of Revenue or delegate to discuss this return and attachments with the preparer whose signature appears on the Form MO-1120 or with any member of his or her firm or if internally prepared, any member of the internal staff. This method can be used only with prior approval from the Missouri Director of Revenue or pursuant to a Missouri regulation creating an alternative industry-specific method under Section 143.455.13(1), RSMo. Receipts Factor Apportionment Instructions - Step 1 A taxpayer must have income from business activity taxable by this state and at least one other state to apportion and allocate income. Income from business activity includes apportionable and nonapportionable income. The taxpayer’s income will be allocated and apportioned according to Section 143.455. The taxpayer must determine which portion of the taxpayer’s federal taxable income constitutes “nonapportionable income.” The various items of nonapportionable income are directly allocated to specific states, which may include Missouri. The apportionable income of the taxpayer is divided between states by using the receipts factor. The sum of the items of nonapportionable income directly allocated to this state, plus the amount of apportionable income attributable to this state by the apportionment formula constitutes the amount of the taxpayer’s Preliminary Missouri taxable income. The Department of Revenue strives to assist taxpayers in their inquiries; however, the Department of Revenue is bound by confidentiality statutes dealing with the release of confidential information. If you are contacting the Department of Revenue regarding financial information of a corporation, refund issuance, or filing status of a corporation, you will be asked to identify your position with the corporation. If you are an officer of the corporation, an authorized individual having power of attorney, the preparer or any member of his or her firm, or if internally prepared, any member of the internal staff, the authorization box on the form must have been checked for the Department of Revenue to release financial information. To prevent delays in answering questions, you must provide the Department of Revenue with a Form 2827, Power of Attorney, prior to making the inquiry. This also applies to employees of the corporation. This form must list the tax type, the tax form, and tax year(s) in question. These procedures are to protect the taxpayer from unauthorized disclosure of financial records. To update corporate officers, send Form 126 : Taxation Division, P.O. Box 3300, Jefferson City, MO 65105-3300 or email at [email protected] Items of nonapportionable income may be reported on Form MO-MS or Form MO-NAI only to the extent such items are included in Form MO-1120, Line 8 (Taxable Income – All Sources). For example, an item of nonapportionable income that was added on Form MO-1120, Line 3, would also be reported on Form MO-MS and Form MO-NAI. If all or part of an item of nonapportionable income was subtracted on Form MO-1120, Line 5, do not report the amount of nonapportionable income so subtracted on Form MO-MS or Form MO-NAI. FORM MO-MS INSTRUCTIONS This information is for guidance only and does not state the complete law. GENERAL INSTRUCTIONS APPORTIONABLE AND NONAPPORTIONALBE INCOME DEFINED Complete the Form MO-MS if taxable corporation income is not 100 percent from Missouri sources. This form must be completed even if Missouri taxable corporation income is zero. If the corporation owns a percentage of a partnership(s), the partnership factors must be multiplied by the corporation’s percentage of ownership, and then added into the corporation’s apportionment factors. All taxpayers that do not qualify for a Special Method (Methods Three through Seven) must choose Method Two A - Receipts Factor Apportionment. “Apportionable income” means all income that is apportionable under the Constitution of the United States and is not allocated under the laws of this state. Apportionable income includes, but is not limited to, income arising from transactions and activity in the regular course of the corporation’s trade or business. Apportionable income also includes, but is not limited to, income arising from tangible and intangible property if the acquisition, management, employment, development, or disposition of the property is or was related to the operation of the corporation’s trade or business. “Nonapportionable income” means all income other than apportionable income. The classification of income by the labels customarily given them, such as interest, dividends, rents, and royalties, is not conclusive in determining whether the income is apportionable or nonapportionable income. Nonapportionable income will be considered only if a detailed Form MO-NAI is completed and attached. APPORTIONMENT ELECTION Missouri statutes provide a number of methods for determining Missouri taxable income from Missouri sources. Choose only the appropriate one of the listed methods and enter the method number on Form MO-1120, Line 9 Method. Once an election has been made, it cannot be changed with respect to the same taxable period. METHOD TWO A Receipts Factor Apportionment — Section 143.455.2, RSMo. See instructions for completing Method Two A. *14000000001* 14000000001 9 • If the ratio above cannot reasonably be determined, then use fifty percent (50%). A taxpayer will not be subject to an addition to tax for negligence in relying upon this approximation of fifty percent (50%). TAXABLE IN ANOTHER STATE A taxpayer is “taxable in another state” if it meets either one of two tests: (a) if by reason of business activity in another state the taxpayer is subject to one of these taxes: a net income tax, a franchise tax measured by net income, a franchise tax for the privilege of doing business, or a corporate stock tax; or (b) if another state has jurisdiction to subject the taxpayer to a net income tax, regardless of whether or not that state imposes such a tax on the taxpayer. The first test is applicable only if a taxpayer carries on business activities in another state. If the taxpayer voluntarily files and pays one or more of such taxes when not required to do so by the laws of that state or pays a minimal fee for qualification, organization, or for the privilege of doing business in that state, but: (a) does not actually engage in business activities in that state; or (b) does actually engage in some activity, not sufficient for nexus, and the minimum tax bears no relation to the corporation’s activities within such state, the taxpayer is not “taxable” in another state. The second test applies if the taxpayer’s business activities are sufficient to give the state jurisdiction to impose a net income tax under the Constitution and statutes of the United States. Jurisdiction to tax is not present where the state is prohibited from imposing the tax by reason of the provisions of Public Law 86-272, 15 U.S.C.A. Sections 381–385. If you believe you do not have sufficient nexus and you are not liable for Missouri tax, complete a Form 4458, Business Activity Questionnaire. For Missouri forms access the Department of Revenue’s website at dor.mo.gov or call (800) 877-6881. RENTAL, LEASE, OR LICENSE OF INTANGIBLE PROPERTY Receipts from the rental, lease, or license of intangible property are in this state to the extent that the intangible property is used in Missouri. Intangible property that is rented, leased, or licensed and then used in this state in marketing a good or service to a consumer is used in this state if the marketed good or service is purchased by a consumer in this state. Franchise fees or franchise royalties received for the rent, lease, license, or use of a trade name, trademark, service mark, or franchise system, or the right to conduct business activity in a specific geographic area, are receipts in this state to the extent that the franchise is located in this state. SALE OF INTANGIBLE PROPERTY Receipts from the sale of intangible property are in this state to the extent the intangible property is used in Missouri. If the intangible property sold is a contract right, government license, or similar property that authorizes the holder to conduct a business activity in a specific geographic area, such intangible property is used in Missouri if the geographic area includes all or part of Missouri. If receipts from the intangible property sale is contingent on the productivity, use, or disposition of the intangible property, these receipts shall be treated as receipts from the rental, lease, or license of intangible property. All other receipts from a sale of intangible property shall be excluded from both the numerator and the denominator of the receipts factor. LINES 1, 2, AND 3 - RECEIPTS FACTOR Complete Part 1, Lines 1 through 3. If the state or states to which to assign receipts cannot be determined, the state or states of assignment must be reasonably approximated and you must attach a detailed statement explaining the basis of the reasonable approximation. • The denominator of the receipts factor is generally all gross receipts received by a taxpayer from transactions and activity in the regular course of its trade or business. However, receipts from hedging transactions or from the maturity, redemption, sale, exchange, loan, or other disposition of cash or securities (e.g. stocks, stock options, bonds) must not be included in either the numerator or denominator of the receipts factor. The numerator of the receipts factor is generally all gross receipts in Missouri from transactions and activity in the regular course of the taxpayer’s trade or business. LINES 4 THROUGH 12 - ALLOCATION OF NONAPPORTIONABLE INCOME Complete Lines 4 through 12 only if the taxpayer has nonapportionable income and/or a net operating loss. Nonapportionable income will be considered only if a detailed Form MO-NAI is completed and attached. In general, any income arising from transactions and activity in the regular course of the taxpayer’s trade or business, or any income arising from property if the acquisition, management, employment, development, or disposition of the property is or was related to the operation of the taxpayer’s trade or business, will be apportionable income rather than nonapportionable income. • Tangible Personal Property. Receipts from the sale of tangible personal property are in this state if the property is received in Missouri by the purchaser. Receipts from the rental, lease, or license of tangible personal property are in this state to the extent that the tangible personal property is located in Missouri. • Real Property. Receipts from the sale, rental, lease, or license of real property are in this state to the extent that the real property is located in Missouri. Rents and royalties from real or tangible personal property, capital gains, interest, dividends, or patent or copyright royalties, are presumed to be apportionable income unless the taxpayer clearly demonstrates on Form MO-NAI that they are nonapportionable income. To the extent one or more of these income items are nonapportionable income, allocate such item(s) as follows: • Services. Receipts from the sale of a service are in this state if and to the extent that the ultimate beneficiary is in Missouri. Generally, the ultimate beneficiary of the service (except for bartering and similar in-kind transactions) is the entity that receives benefit or value from, but does not also receive monetary or credit-based payment in direct connection with, the service at issue (other than r
More about the Missouri Form MO-1120-INS Corporate Income Tax TY 2021
We last updated the Information to Complete MO-1120 in February 2022, so this is the latest version of Form MO-1120-INS, fully updated for tax year 2021. You can download or print current or past-year PDFs of Form MO-1120-INS directly from TaxFormFinder. You can print other Missouri tax forms here.
Related Missouri Corporate Income Tax Forms:
|Form Code||Form Name|
|Form MO-1120S||S Corporation Income Tax Return|
|Form MO-1120ES||Estimated Tax Declaration for Corporations|
|Form MO-1120||Corporation Income Tax/Franchise Tax Return and Form MO-FT|
|Form MO-1120V||Corporation Income Tax Payment Voucher|
|Form MO-1120S-INS||S Corporation Income Tax Return and Franchise Tax Return Instructions|
Missouri usually releases forms for the current tax year between January and April. We last updated Missouri Form MO-1120-INS from the Department of Revenue in February 2022.
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 Missouri Form MO-1120-INS
We have a total of eight past-year versions of Form MO-1120-INS in the TaxFormFinder archives, including for the previous tax year. Download past year versions of this tax form as PDFs here:
Information to Complete MO-1120
Form MO-1120 Instructions
While we do our best to keep our list of Missouri 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.