Utah Code 59-10-1403. Income tax treatment of a pass-through entity — Returns — Classification same as under Internal Revenue Code
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(1) Subject to Subsection (3) and except as provided in Subsection 59-10-1403.2 (2), a pass-through entity is not subject to a tax imposed by this chapter.
Terms Used In Utah Code 59-10-1403
- Individual: means a natural person and includes aliens and minors. See Utah Code 59-10-103
- Pass-through entity: means a business entity that is:(11)(a) the following if classified as a partnership for federal income tax purposes:(11)(a)(i) a general partnership;(11)(a)(ii) a limited liability company;(11)(a)(iii) a limited liability partnership; or(11)(a)(iv) a limited partnership;(11)(b) an S corporation;(11)(c) an estate or trust with respect to which the estate's or trust's income, gain, loss, deduction, or credit is divided among and passed through to one or more pass-through entity taxpayers; or(11)(d) a business entity similar to Subsections (11)(a) through (c):(11)(d)(i) with respect to which the business entity's income, gain, loss, deduction, or credit is divided among and passed through to one or more pass-through entity taxpayers; and(11)(d)(ii) as defined by the commission by rule made in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act. See Utah Code 59-10-1402
- Return: means a return that a pass-through entity taxpayer files:
(15)(a) for a pass-through entity taxpayer that is classified as a C corporation for federal income tax purposes, under Chapter 7, Corporate Franchise and Income Taxes; or(15)(b) for a pass-through entity taxpayer that is classified as an estate, individual, partnership, S corporation, or a trust for federal income tax purposes, under this chapter. See Utah Code 59-10-1402- State: when applied to the different parts of the United States, includes a state, district, or territory of the United States. See Utah Code 68-3-12.5
- Taxpayer: means any of the following that has income subject in whole or part to the tax imposed by this chapter:
(1)(aa)(i) an individual;(1)(aa)(ii) an estate, a trust, or a beneficiary of an estate or a trust that is not a pass-through entity or a pass-through entity taxpayer;(1)(aa)(iii) a pass-through entity; or(1)(aa)(iv) a pass-through entity taxpayer. See Utah Code 59-10-103(2) Except as provided in Section59-10-1403.3 , the income, gain, loss, deduction, or credit of a pass-through entity shall be passed through to one or more pass-through entity taxpayers as provided in this part.(3) A pass-through entity is subject to the return filing requirements of Sections59-10-507 ,59-10-514 , and59-10-516 .(4) For purposes of taxation under this title, a pass-through entity that transacts business in the state shall be classified in the same manner as the pass-through entity is classified for federal income tax purposes.(5)(5)(a) If a change is made in a pass-through entity’s net income or loss on the pass-through entity’s federal income tax return because of an action of the federal government, the pass-through entity shall file with the commission within 90 days after the date of a final determination of the action:(5)(a)(i) a copy of the pass-through entity’s amended federal income tax return or federal adjustment; and(5)(a)(ii) an amended state income tax return that conforms with the changes made in the pass-through entity’s amended federal income tax return.(5)(b) If a change is made in a pass-through entity’s net income on the pass-through entity’s federal income tax return because the pass-through entity files an amended federal income tax return, the pass-through entity shall file with the commission, within 90 days after the date the taxpayer files the amended federal income tax return:(5)(b)(i) a copy of the pass-through entity’s amended federal income tax return; and(5)(b)(ii) an amended state income tax return that conforms with the changes made in the pass-through entity’s amended federal income tax return.(6)(6)(a) A pass-through entity subject to the return filing requirements under Subsection (3), shall report on the pass-through entity’s return:(6)(a)(i) whether the entity has filed a current annual report with the Division of Corporations; and(6)(a)(ii) the entity’s commerce entity number.(6)(b) Subsection (6)(a) does not apply to an individual, estate, or trust. - Return: means a return that a pass-through entity taxpayer files: