Section Rev 2404.05 - Interest Apportionment Factor(a) The interest apportionment factor shall include: (1) All real property and tangible personal property, as defined in Rev 2401.10;(2) Property that is: a. Actually used, is available for, or capable of being used, during the taxable period in the regular course of the trade or business of the business enterprise;b. Used in the regular course of business shall remain in the property factor until its permanent withdrawal from use; orc. In transit with the property being included in the numerator of the destination state; and(3) The value of moveable or mobile property, such as construction equipment and common carrier vehicles, with the value being determined for purposes of the property factor on the total time or miles within a state during the period.(b) Property, other than inventory, owned by the business enterprise shall be valued at its original cost which is deemed to be the basis of the property for federal income tax purposes at the time of acquisition prior to any federal adjustments and adjusted by subsequent sale, exchange, abandonment, or other such disposition.(c) Inventory shall be included in the interest apportionment factor in accordance with the valuation method used for federal income tax purposes.(d) Real and tangible personal property rented or leased by the business enterprise shall not be included in the interest apportionment factor.(e) The beginning and ending average value of owned property shall be used for the interest apportionment factor unless material distortions of the factor are caused by: (1) Fluctuations in values existing during the period; or(2) The acquisition or disposition of significant property during the period.(f) Business enterprises having material distortions caused by the use of a beginning and ending average value shall calculate the value of their property for apportionment purposes using a monthly average.N.H. Admin. Code § Rev 2404.05
INTERIM #5708, eff 9-23-93, EXPIRED: 1-21-94; ss by #5774, eff 1-21-94; ss by #7178, eff 12-23-99, EXPIRED: 12-23-07
New. #9065, eff 1-10-08 (from Rev 2404.04 )
Amended by Volume XXXVI Number 06, Filed February 11, 2016, Proposed by #11032, Effective 1/29/2016, Expires 1/29/2026.