Indiana Code 6-5.5-5-1. Members of unitary business; combined returns; fair representation of taxpayer income within state; reapportionment
(b) If the department or taxpayer determines that the result of applying this section or article do not fairly represent the taxpayer’s income within Indiana or the taxpayer’s income within Indiana may be more fairly represented by a separate return, the taxpayer may petition for and the department may allow, or the department may require, in respect to all or a part of the taxpayer’s business activity any of the following:
Terms Used In Indiana Code 6-5.5-5-1
- gross income: includes income from interest, fees, penalties, a market discount or other type of discount, rental income, the gain on a sale of intangible or other property evidencing a loan or extension of credit, and dividends or other income received as a means of furthering the activities set out in this subdivision. See Indiana Code 6-5.5-1-17
- Taxpayer: means a corporation that is transacting the business of a financial institution in Indiana, including any of the following:
Indiana Code 6-5.5-1-17
(2) The filing of a separate return for the taxpayer.
(3) A reallocation of tax items between a taxpayer and a member of the taxpayer’s unitary group or an entity that would be a member of a taxpayer’s unitary group if it were transacting business in Indiana.
For purposes of this subsection, “tax items” means gross income, deductions, gains, losses, and credits used in computing the tax under this article, except the term shall exclude dividends or other distributions regardless of whether the amounts are deductible or taxable in computing taxable income under the Internal Revenue Code.
(c) Income apportioned under this article must reflect a change in adjusted gross income that is required to comply with a department order under this section.
As added by P.L.347-1989(ss), SEC.1. Amended by P.L.21-1990, SEC.30; P.L.68-1991, SEC.13; P.L.1-2023, SEC.17.