Form D-1065 - Partnership Return - 2000 (Page 3 of 4) in pdf

INCOME FROM OTHER PARTNERSHIPS, ETC.

be required from any partner having Detroit taxable income other

than his/her distributive share of the net profits of the partnership.

— LINE 7-9

(In such instances, a partner who is required to file an individual

Include on Line 7, Column I, the net income (or loss) from other

return should refer to the instructions for such return.)

partnerships, etc. On Line 8, deduct any income which is specifi-

cally exempt for all taxpayers (interest on U.S. governmental oblig-

If the partnership elects to pay the tax on behalf of the partners,

ations, etc.) and which was included in the amount on Line 7, and

then it assumes the status of a taxpayer to the extent that:

enter the net amount on Line 9, Column I.

Timely payment must be made;

Fill in Column 2, 3, and 4. Subtract Column 4 (income not taxable

A 2001 Declaration of Estimated Income Tax, Form D-1040-

to non-residents) from Column 3 and enter the difference in

ES will be required if the 2000 tax for the partnership is

Column 5.

expected to exceed $100.

TOTALS, LINE 10

TAX RATE: The tax rate is 2.85% for residents, 1.425% for non-

Enter on Line 10 the total of Lines 3, 5, 6 and 9 for each column in

residents of the City of Detroit and 1.8% for partners

Schedule B. After transferring the amounts from Column 2 and 5

who are corporations.

of Schedule B to Schedule E, where distribution of the total is made

INSTRUCTIONS FOR PAGE 1

to the individual partners. The total of Column 2 (taxable non-busi-

ness income of resident partners) must equal the total of Column 6a

The amounts to be inserted in Column 1, Page 1 are transferred

of Schedule E. The total of Column 5 must equal the total of

from Schedule E on Page 3 of the return. If this return is to be an

Column 6b of Schedule E.

information return only, the remaining Columns 2 through 6 on

Page 1, need not be filled in; however, if the partnership elects to

INSTRUCTIONS FOR SCHEDULE E, PAGE 3

pay the tax, Columns 2 through 6 must be completed.

The totals of Columns 1, 4, 6a and 6b of Schedule E, showing the

COLUMN 2 — Any items of income which are non-taxable and

distribution to individual partners of ordinary and non-business

which are included in Column 1 are to be deduct-

income, must agree with the totals transferred from Schedules B

ed in Column 2. These items will include the net

and C.

operating loss carry-over, etc. The net operating

COLUMN 1 — Enter in Column I the individual partner’s share

loss carry-overs are to be handled in the same

of business income from Schedule C, Line 24.

manner as provided by the Federal Internal

Revenue Code, except that the Detroit Income

COLUMN 2 — Enter 100% for resident partners or the allocation

Tax Ordinance does not provide for a carry-back

percentage from Page 4, schedule D.

of such losses. Non-resident partners must allo-

COLUMN 3 — Multiply Column 2 times Column 1 and enter the

cate net operating losses to Detroit at the per-

result here.

centage of business conducted in Detroit in the

year in which the loss was sustained. A schedule

COLUMN 4 — Enter the total partners salaries, interest or other

of computations must be attached for all entries

guaranteed payments.

in Column 2.

COLUMN 5 — Enter 100% of resident partners salaries, interest

COLUMN 3 — Exemptions. A $750 exemption is allowed for

or guaranteed payment or the portion of non-res-

each individual partner, his/her spouse and

ident salaries, interest or guaranteed payments

his/her dependents. Additional exemptions are

earned in Detroit. (Based on actual time inside

allowed if the taxpayer or his/her spouse is 65 or

Detroit for each partner as computed per

over; is blind; is deaf; or is paraplegic, quadri-

Schedule on Page 4.)

plegic, hemiplegic or totally and permanently

COLUMN 6a —Enter non-business income taxable to resident

disabled. A trust or an estate is allowed the same

partners per Schedule B, Column 2, Line 10.

exemption as under the Federal Internal Revenue

Code. A spouse may be taken as an exemption on

COLUMN 6b —Enter non-business income taxable to non-resi-

the partnership return only if such spouse has no

dent partners per Schedule B, Column 5, Line 10.

income subject to the Detroit Income Tax.

COLUMN 7 — Transfer the amount of each individual partner’s

COLUMN 6 — Enter in Column 6 payments made by the part-

share shown in Column 7, Schedule E to Column

nership for tax paid with a 2000 extension, or for

1, Page 1 of the return.

payments on a 2000 Declaration of Estimated

OPTION TO PAY TAX: At its election, the partnership may com-

Income Tax, or any payments and credits made

pute and pay the tax which is due with respect to each partner’s

by the partnership on behalf of Detroit resident

share of the net profits of the business. The partnership may pay the

partners for income taxes to any other municipal-

tax for partners only if it pays for ALL partners subject to the tax.

ity, if the income on which such tax was levied is

Partnerships electing to pay for all partners must remit with the

included in this return. Do NOT take credit for

return if the amount due is $1.00 or more.

income taxes paid any other municipality on

Make remittance payable to:

behalf of partners who are not Detroit residents.

The credit shall be the lesser amount of either (1)

TREASURER — CITY OF DETROIT

the income tax paid the other municipality for

If the partnership elects to pay the tax for the partners, the individ-

Detroit resident partners, or (2) the tax that a

ual partners are not required to file a return if such partners have no

non-resident of Detroit would have paid on the

other income subject to the tax. However, an individual return shall

same income. All credits in Column 6 are to be

Form D-1065 - Partnership Return - 2000 Page 3

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