1120-US: Allocation method used to assign the various taxable income brackets (FAQ)

Alerts and notices
Leave feedback

Internal Employees: Submit feedback

Contact information (optional):

Leave this blank:

Please tell us how we can make this information more helpful.


Characters left:

Change to CS Support service hours

Our Support department is closed on [[date]]. However, limited UltraTax CS phone support is available on that date from 9 AM - 5 PM ET due to the approaching deadline.

Links to our most popular tax processing topics are available in the Alerts and notices section on the right side of most pages.

Question

What method of allocation is permitted to assign the various taxable income brackets?

Answer

Members of a controlled group can elect an unequal apportionment plan and divide the taxable income brackets as they want. If an apportionment plan is not adopted (or in effect), members of the controlled group must divide the amount in each taxable income bracket equally among themselves. Please refer to Entering a corporation as a controlled group for additional information regarding how to assign the taxable income, credits, exemptions, and limitation items.

Related topic: 1120-US: Controlled group FAQs

Share This