39 CFR 3060.40 – Calculation of the assumed Federal income tax
(a) The assumed Federal income tax on competitive products income shall be based on the Postal Service theoretical competitive products enterprise income statement for the relevant year and must be calculated in compliance with chapter 1 of the Internal Revenue Code by computing the tax liability on the taxable income from the competitive products of the Postal Service theoretical competitive products enterprise at the applicable corporate tax rate.
Terms Used In 39 CFR 3060.40
- Fiscal year: The fiscal year is the accounting period for the government. For the federal government, this begins on October 1 and ends on September 30. The fiscal year is designated by the calendar year in which it ends; for example, fiscal year 2006 begins on October 1, 2005 and ends on September 30, 2006.
(b) The end of the fiscal year for the annual calculation of the assumed Federal income tax on competitive products income shall be September 30.
(c) The calculation of the assumed Federal income tax due shall be submitted to the Commission no later than the January 15 following the close of the fiscal year referenced in paragraph (b) of this section.
(d) No estimated Federal income taxes need to be calculated or paid.
(e) No state, local, or foreign income taxes need to be calculated or paid.