A shareholder or partner has Indiana-source income other than K-1 income. Should the shareholder or partner still be included on the composite return?
Yes. The shareholder or partner will report only the K-1 income on the composite return. The K-1 income and the other Indiana-source income will be reported on the IT-40PNR income tax return. Note that the WH-18 credit can be claimed on both the composite return and the IT-40PNR income tax return.
Related Questions
- If my last years income tax return reflects non-recurring income such as lottery winnings or capital gains, should it be included in the calculation of my adjusted income?
- Must all nonresident shareholders, partners, or members be included on the composite return?
- Who is an eligible shareholder that can be included in a composite return?
