Instructions For 2015 Form 6y: Wisconsin Subtraction Modification For Dividends Page 3
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4Form 6Y Instructions
■ Line 1h. Additional Forms 6Y – If the corporation
CAUTION: If the payee owned more than 50%, but
has more qualifying dividends than can be reported on
less than or equal to 70%, of the combined voting
lines 1a to 1f, you must use lines 1a to 1f of an addi-
power of the payer’s stock, you must determine how
tional Schedule 6Y (or additional Schedules 6Y) to re-
much of the dividends qualify to be eliminated from
port the remaining qualifying dividends. Complete
combined unitary income. You may only report the
lines 1h through 4 only for the first Schedule 6Y.
qualifying amount on lines 1a through 1f.
Enter the information for each member in a separate
column. If there are more than three members, use ad-
The following example illustrates how to complete
ditional Forms 6Y. For example, if there are seven
Form 6Y in the case of a combined group:
members in the combined group, enter members one
through three on Form 6Y (do not complete the com-
Example of Lines 1a to 1f for a Combined Group:
bined total column yet). Next, enter members four
Combined Group ABC consists of Member A, Member
through six on an additional Form 6Y (do not complete
B, and Member C and uses a calendar year. Member
the combined total column yet). Finally, complete a
A has owned 60% of the voting stock of B since July
new Form 6Y for the seventh and final member. Com-
1, 2006 and 80% of the voting stock of C since January
plete the combined total column on the last Form 6Y
15, 2005. During 2015, A received a total of $200,000
for all group members.
in dividends from B and $500,000 in dividends from C.
No other corporations in the group received dividends.
■ Line 3. Foreign Taxes – On line 3, enter taxes paid
Member A determined that 25% of the dividend from
B was paid out of E&P that wasn’t attributable to com-
to a foreign nation on dividends listed on lines 1a to 1f
if you are claiming those foreign taxes as a deduction
bined unitary income. Therefore, only $150,000 (=
elsewhere on your return. You may be including them
75% x $200,000) of the dividend from B qualifies for
as a deduction in the federal taxable income you report
the elimination of dividends.
on Form 6, or you may be claiming them as a subtrac-
tion from income on Form 6, Part II, line 4g.
Group ABC would complete lines 1a and 1b as follows:
Line 1a
Name of Payer Corporation……….….…….Member B
Date Acquired by Payee…………….….….07/01/2006
Payee’s Ownership of Payer..“> 50% but < or = 70%”
Dividends Received:………………………….$150,000
Line 1b
Name of Payer Corporation….……….…….Member C
Date Acquired by Payee……………..…….01/15/2005
Payee’s Ownership of Payer………..………....“>70%”
Dividends Received:………………..….…….$500,000
Alternatively, the dividends from Member C could have
been reported on line 1a and the dividends from Mem-
ber B on line 1b.
IC-525
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