How do I elect North Carolina to be a taxed partnership with a 1065 return using CCH® ProSystem fx® Tax and CCH Axcess™ Tax?
- Article Type:
- How To
- Last Modified:
- 04/25/2023
Objectives
Prepare and calculate tax for a North Carolina partnership return.
Environment
- CCH® ProSystem fx® Tax
- CCH Axcess™ Tax
- Partnership - 1065
- North Carolina - NC
- Worksheet View - WSV
Procedure
Elect to be Taxed
- Go to North Carolina > General Information worksheet.
- In line 16 - Partnership elected to be a Taxed Partnership - override, select the checkbox.
- Calculate the return.
- Go to Common State > State PTE Generation worksheet.
- In Line 11 - North Carolina, select the checkbox.
- Calculate the return.
- Go to North Carolina > General worksheet.
- In line 17 - Calculate Taxed Partnership based on Session Law 2023-12, select the checkbox.
- Interview North Carolina > NC1, box 41.
- Calculate the return.
Notes
- Eligible Partner Entity Types (Release 2022.03040 and after)
- Individual, Partnership (limited), Partnership (general), Limited liability partnership, S corporation, Estate, Grantor Trust, Exempt Org, LLC, IRA, Keogh, SEP.
- D-403, page 1, lines 11-23 moved to page 2. Lines 24-27 added for application of overpayment to estimates or charitable donations.
- Lines 25 and 26 are populated with NC > Inc/Ded wskt > lines 1 and 2
- D-403, page 3, part 4, sections E and F added to break out Nonresidents and Residents income.
- NC K-1, Item C, lines 10 and 11 added. Line 11 can come from either D-403, part 4, line 24 or line 28 depending on residency status.
- Nonresident partners line 24 is determined by apportionment
- Resident partners, line 28 is determined by D-403, part 1, line 7 against P/L percentage in part 4, line 4, and D-403, part 4, line 27.
- Line 27 can be input at NC > Inc/Ded > line 3 (positive or negative) and specially allocated using code 35541
- NC-PE, lines 14, 38 and 39 added.
- NC-40 PTE Estimates added.
Additional Information
Solution Id | 000257916/000257916 |
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Direct Link |