Welcome back! Ask questions, get answers, and join our large community of tax professionals.
- Topics
- Training
- Community
- Product Help
- Industry Discussions
- User Groups
- Discover
- Resources
Turn on suggestions
Auto-suggest helps you quickly narrow down your search results by suggesting possible matches as you type.
Showing results for
- Intuit Accountants Community
- :
- ProSeries Tax
- :
- ProSeries Tax Discussions
- :
- When completing the DC Form D-20 for Corporation Franchise Tax, how do I indicate a net loss for the DC portion of revenues?
When completing the DC Form D-20 for Corporation Franchise Tax, how do I indicate a net loss for the DC portion of revenues?
Options
- Mark Topic as New
- Mark Topic as Read
- Float this Topic for Current User
- Bookmark
- Subscribe
- Printer Friendly Page
davetodd11
Level 5
03-15-2024
01:35 PM
- Mark as New
- Bookmark
- Subscribe
- Permalink
- Report Inappropriate Content
I have a client who has two main sources of revenue.
One is from a government contract, most of the labor for which actually occurs in DC. Overall, the company has net income. For the DC contract, however, there is a net loss.
The D-20 calculates the "DC Apportionment Factor" by dividing the DC portion of gross receipts into the total gross receipts, and then applies that factor to the net income in order to determine "DC Taxable Income".
How can I indicate the DC-related cost of goods sold in order to show a loss for DC on the return?
One is from a government contract, most of the labor for which actually occurs in DC. Overall, the company has net income. For the DC contract, however, there is a net loss.
The D-20 calculates the "DC Apportionment Factor" by dividing the DC portion of gross receipts into the total gross receipts, and then applies that factor to the net income in order to determine "DC Taxable Income".
How can I indicate the DC-related cost of goods sold in order to show a loss for DC on the return?
Labels
1 Comment 1
sjrcpa
Level 15
03-15-2024
03:33 PM
- Mark as New
- Bookmark
- Subscribe
- Permalink
- Report Inappropriate Content
You can't. DC and most states use apportionment.
When allocation is allowed:
It's usually for nonbusiness income.
Advance permission is usually required to allocate business income, if it would be allowed at all.
Ex-AllStar
