1120-US: Calculating the DPAD for consolidated groups (FAQ)

Alerts and notices


How does UltraTax CS/1120 calculate the DPAD for a consolidated group?


Per IRC Regulation 1.199-7(d)(4), the DPAD of the consolidated group is determined based on the consolidated totals of the group and not the separate taxable income, QPAI, and Form W-2 wages of the group members.

For consolidated groups, data entry for Screen 8903 must be completed in the applicable member clients' returns to generate Form 8903.