Form 720 Draft - Schedule Kcr - Kentucky Consolidated Return Schedule (Page 3 of 3) in pdf

Form 720 Draft - Schedule Kcr - Kentucky Consolidated Return Schedule Page 3

41A720KCR (10-07)

Page 2

Schedule KCR – Kentucky Consolidated Return Schedule

GENERAL INSTRUCTIONS

Purpose of Form—This schedule must be completed and submitted with the

consolidated income tax return (Form 720) to show the statutory adjustments for each

member of the affiliated group. Each affiliate is reported net of all amounts resulting

from transactions with other members of this consolidated group (intercompany

eliminations).

Specific Instructions—For each subsidiary, enter the name, FEIN and Kentucky

Corporation/LLET account number. If there are more than three subsidiaries in the

affiliated group, use Schedule KCR-C, Kentucky Consolidated Return Schedule

Continuation Sheet.

Enter on Line 1 the amounts from Schedule CR, or Schedule CR-C, Line 28. These

amounts are before intercompany eliminations. Enter on Line 1(a) the amount of

intercompany eliminations for each entity. Enter reductions as a negative. The Line

1(a) Total amount is the same as the amount on Schedule CR, Intercompany Eliminations

column, Line 28.

For each line item 1 through 16, the total of the parent plus each subsidiary shall equal

the corresponding line item on Form 720, Part II, if the affiliate does not have

nonbusiness income. Enter on Line 17, the amount from Schedule A, Section II, Line 3.

Enter on Line 18, the amount from Schedule A, Section II, Line 7 . Combine the amounts

on Lines 16 through 18 and enter on Line 19. The total on Line 19 is the Kentucky net

income before apportionment. This is the total of Schedule A, Part II, Line 4 and Line 7.

The total of Line 16 is the same as the amount on Form 720, Part II, Line 16, unless

there is Kentucky nonbusiness income. This form can be duplicated as needed.

Form 720 Draft - Schedule Kcr - Kentucky Consolidated Return Schedule Page 3