Section Rev 307.07 - Members of a Combined Group(a) The principal New Hampshire business organization shall file a combined return on behalf of all members of a combined group by: (1) Complying with the uniform standards for forms described in Rev 2904.08;(2) Completing and filing Form NH-1120-WE, with all required schedules regardless of the composition of the combined group; and(3) Attaching a clear and legible copy of:a. Pages one through 5 and federal Form 1125-A of the federal consolidated income tax return(s) with the consolidating schedules as filed with the United States Internal Revenue Service when members of the group are included in a federal consolidated income tax return; andb. Pages one through 5 and federal Form 1125-A of the federal income tax return(s) as filed with the United States Internal Revenue Service and schedules supporting totals included on any specific line of such federal return, when members of the group are not included in a federal consolidated income tax return described in (a) above. (b) The designated principal New Hampshire business organization, as described in Rev 301.24 shall notify the commissioner of any change in the status or composition of the combined group by attaching a statement to each combined return when a change occurs specifying the changes taken place since the previous taxable period.(c) All transactions between business organizations included in the combined return shall be eliminated rather than offset for purposes of income, expenses and apportionment factors.(d) A combined return shall be completed and filed by the 15th day of the fourth month following the expiration of the taxable period of the principal New Hampshire business organization.(e) Any member of the group not having the same taxable period as the principal New Hampshire business organization shall convert its income and expenses to the taxable period of the principal New Hampshire business organization for use in both the tax base and apportionment factors in the following manner:(1) The business organizations converting their taxable period shall use the months corresponding to the fiscal period of the principal New Hampshire business organization from their 2 fiscal years overlapping the required taxable period;(2) The taxable income of the converting business organizations shall be determined in accordance with the method of accounting used for federal income tax purposes; and(3) Any intergroup activity shall be removed from the tax base and apportionment factors of all business organizations included in the combined return in all years a combined return is filed regardless of the timing of its inclusion in the federal income tax return of the particular business organization.(f) All business organizations conducting a unitary business shall be included in a combined return unless the required affiliation schedule has been prepared and submitted with Form NH-1120-WE.(g) A principal New Hampshire business organization shall complete and file Form 1120-WE. (h) A principal New Hampshire business organization may request extensions of time for filing combined returns in (g) above, provided the request is made in accordance with Rev 307.09.(i) The principal New Hampshire business organization required to pay estimated taxes on the combined net income of the combined group, as provided in RSA 77-A:6, II, shall complete and file Form NH-1120-ES, with payment on or before the 15th day of the fourth, sixth, ninth, and twelfth month of the taxable period to which they relate.(j) For purposes of the exception provisions for overseas business organizations in RSA 77-A:1, XV, the business organization shall effect the certification required by the statute when a person authorized to sign returns on behalf of the company and members of the combined group signs the certification statement on Form BT-SUMMARY, "Business Tax Return Summary".(k) A company which does not qualify as a principal New Hampshire business organization may elect to file a combined return on behalf of the combined group by: (1) Complying with the uniform standards for forms described in Rev 2904.08;(2) Completing the return with the name of the company included in the name and address sections of Form NH-1120-WE, Form BET-80-WE, "Business Enterprise Tax Apportionment for Individual Nexus Members of a Combined Group" and Form BT-SUMMARY;(3) Signing the tax returns by a person authorized to sign returns on behalf of the company and members of the combined group which signature shall indicate agreement by the company to: a. Assume the responsibility for the timely filing, on behalf of the combined group, for the following business tax returns:b. Assume the responsibility for the timely payment of all business profits and business enterprise tax, including any required extensions and estimated payments; andc. Allow the department to assess against and collect from the company, or any member of the combined group having a taxable presence in New Hampshire, taxes, interest, penalties or other charges that might be assessed against any member of the combined group for all tax years in which the return is filed by the company; (4) Agreeing to advise the department's audit division, at least 60 days before terminating the election and providing the name of the business organization that shall be filing future returns on behalf of the combined group, by letter at: New Hampshire Department of Revenue Administration
Audit Division
P O Box 1388
Concord, NH 03302-1388; and
(5) Complying with all of the statutes and rules that apply to the filing of a combined return.N.H. Code Admin. R. Rev 307.07
#4192, eff 12-23-86; ss by #5490, eff 10-19-92; amd by #5910, eff 10-14-94; amd by #6179, eff 1-30-96; ss by #6853, eff 9-23-98; ss by #8709, eff 8-25-06
Amended byVolume XXXV Number 06, Filed February 12, 2015 , Proposed by #10758, Effective 1/16/2015, Expires1/16/2025.Amended by Volume XXXVII Number 23, Filed June 8, 2017, Proposed by #12186, Effective 5/25/2017, Expires 5/25/2027.Amended by Volume XXXVII Number 37, Filed September 14, 2017, Proposed by #12361, Effective 8/9/2017, Expires 8/9/2027.Amended by Volume XXXVIII Number 15, Filed April 12, 2018, Proposed by #12494, Effective 3/21/2018, Expires 3/21/2028.