Section 35.01.01.286 - S CORPORATIONS OPERATING WITHIN AND WITHOUT IDAHOSections 63-3027 and 63-3030(a)(4), Idaho Code
01.In General. An S corporation that operates within and without Idaho must apply the principles of allocation and apportionment of income set forth in Section 63-3027, Idaho Code, and related rules to determine the extent of S corporation income that is derived from or related to Idaho sources. The use of a combined report, however, is available only to C corporations.02.Information Provided to Shareholders. An S corporation must provide to each shareholder information necessary for the shareholder to compute his Idaho income tax. Such information must include:a. The shareholder's share of each pass-through item of income and deduction;b. The shareholder's share of each Idaho addition and subtraction;c. The shareholder's share of Idaho qualifying contributions, Idaho tax credits, and tax credit recapture;d. The shareholder's share of income allocated to Idaho;e. The S corporation's apportionment factor; andf. The shareholder's distributive share of S corporation gross income.03.Protection Under Public Law 86-272. An S corporation whose Idaho business activities fall under the protection of Public Law 86-272 is exempt from the taxes imposed by Sections 63-3025 and 63-3025A, Idaho Code, including the minimum tax.04.Qualified Subchapter S Subsidiary. A corporation that is a qualified subchapter S subsidiary (QSSS) must include its apportionment attributes with its parent's apportionment attributes to compute one Idaho apportionment factor for the S corporation. If the S corporation and its qualified subchapter S subsidiaries are carrying on more than one unitary business, each unitary business must allocate and apportion its income pursuant to Rule 340.03.Idaho Admin. Code r. 35.01.01.286