Instructions For Pa-20s/pa-65 Schedule A - Pennsylvania Department Of Revenue - 2012
ADVERTISEMENT
1
22012
Pennsylvania Department of Revenue
Instructions for PA-20S/PA-65 Schedule A
Interest Income
●
certificate, the entity can report the
Interest incidental to the
General Information
excess as a loss on PA-20S/PA-65
production of rental or royalty
Schedule D, Part I or PA-20S/PA-65
income that the entity includes in
Schedule D, Part III, Line 13.
determining net rent or royalty
Purpose of Schedule
For a listing of tax-exempt and
income;
Use PA-20S/PA-65 Schedule A to
●
Interest that is
Pennsylvania Taxable Interest Income To
report interest income of PA S
statutorily free from
Pennsylvania Resident and Nonresident Owners
corporations, partnerships, estates
Pennsylvania tax;
and trusts and limited liability
Type of Interest
Pennsylvania
Nonresident
●
Interest derived
companies filing as partnerships or
(Not allocated to
Resident
of
from assets employed
PA S corporations for federal income
net profits)
Pennsylvania
as working capital in a
tax purposes.
Saving or other
Taxable as
Not Taxable
business; and
The entity must report any
bank deposits
Interest
●
Interest from
interest it received for the use of its
Taxable as
accounts and notes
Coupon bonds
Not Taxable
money that it does not include in
Interest
receivable from sales
another income class. Do not report
Open accounts
Taxable as
Not Taxable
of products or services
interest from obligations that are
Interest
sold in the ordinary
statutorily free from Pennsylvania
Promissory notes
Taxable as
Not Taxable
course of business
tax.
Interest
that the entity
Interest reported on the PA-
Mortgages
Taxable as
Not Taxable
includes in
20S/PA-65 Information Return and
Interest
determining net profit
PA-20S/PA-65 Schedule A is total
Corporate bonds
Taxable as
Not Taxable
(loss) from its
interest earned by the entity itself.
Interest
business, profession or
There is no need to distinguish
Debentures
Taxable as
Not Taxable
farm (generally
between resident and nonresident
Interest
current assets).
portions since interest is not a class
Interest on legacies
Taxable as
Not Taxable
A PA S corporation
of income on the PA-20S/PA-65
or life insurance
Interest
or partnership cannot
Schedule NRK-1. For Pennsylvania
proceeds
assume that an
personal income tax purposes,
Interest on tax
Taxable as
Not Taxable
obligation that is
nonresidents are not taxed on
refunds
Interest
exempt from federal
ordinary interest from Pennsylvania
Interest on U. S.
Not Taxable
Not Taxable
income tax is also
sources. Interest is ignored by the
obligations - Direct
exempt from
nonresident unless the entity has
ownership
Pennsylvania personal
reclassified interest on PA-20S/PA-65
Interest on other
Taxable as
Not Taxable
income tax. The
Schedule M, Part A and PA-20S/PA-
exclusion for U.S. tax-
states’ obligations or
Interest
65 Schedule A, Line 2 as working
political subdivisions
exempt obligations
capital, in which case it will be
does not automatically
Unstated or imputed
Taxable as
Not Taxable
included with business or rental
extend to those
interest, including
Interest
income.
obligations whose sole
government
statutory basis for
obligations (original
Pennsylvania-Taxable
exclusion is the
issue discount)
Interest
Internal Revenue
GNMA
Taxable as
Not Taxable
Code.
Interest
Pennsylvania law (72 P.S. §
The entity may
FNMA
Taxable as
Not Taxable
7303(a)(6)) provides that interest
only deduct forfeited
Interest
derived from obligations that are not
interest penalties from
PA Commonwealth
statutorily free from state or local
a premature
and PA Municipal
Not Taxable
Not Taxable
taxation under any other act of the
withdrawal of a time
Obligations
General Assembly of the
deposit against the
Income reported for
Taxable as
Not Taxable
Commonwealth of Pennsylvania or
interest income from
federal purposes
Interest
under the laws of the U.S. is taxable.
that account or
from life insurance,
Include all interest income
certificate. The PA S
annuities, and
except:
corporation or
endowment
●
Interest derived from purchase
partnership cannot
contracts.
money mortgages on real estate or
offset such interest
taxable obligations, obtain
land contracts that the entity
penalty against other interest
Pennsylvania form REV-1643, Tax
includes in determining net gain
income. If the total penalty exceeds
Exempt Obligations for Pennsylvania
(loss) from the sale, exchange or
the interest on an account or
Personal Income Tax Purposes.
disposition of property;
- 1 -
ADVERTISEMENT
0 votes
Related Articles
Related forms
Related Categories
Parent category: Financial