Partnertax.ai
Start free trial →

North Dakota Administrative Code Title 81 — Tax Commissioner

N.D. Admin. Code § 81-03-05.1-08

Consolidated returns

Official textlegis.nd.govlast amended

# 1.

As used in this section: a. "Combined report" means a tax return on which the tax liability is computed using the method described in chapters 81-03-05.2 and 81-03-05.3. b. "Consolidated return" means a single corporation income tax return that reports the tax liability of more than one corporation engaged in business in or having sources of income from North Dakota. c. "Taxpayer" means a corporation liable to report income or loss to North Dakota.

# 2.

Only taxpayers who compute their liability using the combined report method may file a consolidated return. The consolidated return must contain the following information: a. Identifies the name and federal identification number of the corporation that will file the consolidated return. b. Reports the tax liabilities of all taxpayers in the combined report.

# 3.

All taxpayers in the combined group must continue to file a consolidated return until the commissioner is notified in writing of the combined group's intent to file individual returns.

# 4.

This section is effective for all tax years beginning after December 31, 1992. Example: Corporation A Corporation B Corporation C Combined Amounts Facts: Federal taxable income $500,000 $(80,000) $40,000 $460,000 State adjustments 10,000 1,000 5,000 16,000 North Dakota property Total property North Dakota payroll Total payroll North Dakota sales Total sales 150,000 0 10,000 150,000 100,000 10,000 260,000 60,000 0 40,000 60,000 100,000 40,000 200,000 1,000,000 0 200,000 1,500,000 300,000 200,000 2,000,000 Corporation Corporation Computation of apportionment factor North Dakota property Combined property Property factor North Dakota payroll Combined payroll Payroll factor North Dakota sales Combined sales Sales factor Sum of factors Apportionment factor Computation of tax liability Federal taxable income State adjustments A C $150,000 $10,000 260,000 260,000 .576923 .038462 60,000 40,000 200,000 200,000 .300000 .200000 1,000,000 200,000 2,000,000 2,000,000 .500000 .100000 1.376923 .338462 .458974 .112821 Corporation Corporation Total A C Tax Due $460,000 $460,000 16,000 16,000 North Dakota apportionable income Apportionment factor North Dakota taxable income 476,000 476,000 .458974 .112821 218,472 53,703 North Dakota tax due (2015 rates) 8,501 1,400 $9,901

Amendment history

History: Effective December 1, 1993; amended effective September 1, 1997; July 1, 2016. General Authority: NDCC 57-38-56 Law Implemented: NDCC 57-38-14

Source: view the official PDF

Report a problem

What's wrong?

Sent anonymously with this page's citation. No personal information is collected.
In this article (40 sections)
  1. 81-03-02.2-02 · Income of nonresident from tangible property located in…
  2. 81-03-02.2-04 · Deduction for federal income tax liability - Limitation
  3. 81-03-03.1-01 · Certificate of residence - Penalty
  4. 81-03-03.1-02 · Employer's application for registration
  5. 81-03-03.1-03 · Exemptions - Federal or state withholding certificate
  6. 81-03-03.1-04 · Amount of wages payable before withholding applies
  7. 81-03-03.2-01 · Definitions
  8. 81-03-03.2-02 · New jobs credit from withholding
  9. 81-03-03.2-03 · Withholding not included in new jobs credit from…
  10. 81-03-03.2-04 · New jobs credit from withholding statement
  11. 81-03-04-01 · Corporation required to report and pay estimated tax and…
  12. 81-03-04-02 · Payments of estimated taxes by individuals, estates, and…
  13. 81-03-04-03 · Estimated income tax payment
  14. 81-03-05.1-01 · Cooperatives required to file
  15. 81-03-05.1-02 · Computation of unitary business income subject to…
  16. 81-03-05.1-03 · DISC and FSC subject to North Dakota income tax
  17. 81-03-05.1-04 · DISC distributions
  18. 81-03-05.1-05 · Subchapter S corporation tax credits
  19. 81-03-05.1-06 · Tax credit for research and experimental expenditures
  20. 81-03-05.1-07 · Net operating losses
  21. 81-03-05.1-08 · Consolidated returns
  22. 81-03-05.2-01 · Definitions
  23. 81-03-05.2-02 · Water's edge election
  24. 81-03-05.2-03 · Method of reporting
  25. 81-03-05.2-04 · Elements of the water's edge combined report
  26. 81-03-05.2-05 · Domestic disclosure spreadsheet
  27. 81-03-05.2-06 · Failure to comply with water's edge election
  28. 81-03-05.2-06.1 · Recission of a water's edge election
  29. 81-03-05.2-07 · Procedure for review of tax commissioner's recision of…
  30. 81-03-05.2-08 · Administrative provisions of income tax law applicable
  31. 81-03-05.3-01 · Definitions
  32. 81-03-05.3-02 · Method of filing
  33. 81-03-05.3-03 · Elements of worldwide combined report
  34. 81-03-05.4-01 · Definitions
  35. 81-03-05.4-02 · Use of this rule
  36. 81-03-05.4-03 · Computation - Part I
  37. 81-03-05.4-04 · Computation - Part II
  38. 81-03-05.4-05 · Additional provisions
  39. 81-03-05.5-01 · Credit for North Dakota alternative minimum tax
  40. 81-03-05.5-02 · Deduction for federal alternative minimum tax
Full table of contents →