Instructions For 2015 Form 6i: Wisconsin Adjustments For Insurance Companies (Page 3 of 4) in pdf

Form 6I Instructions

Dividend Income from Separate Entity Items. If a

Part IV: Tax Adjustment

dividend is not otherwise includable in combined uni-

tary income, for example, if it is excluded from com-

Since the tax liability of an insurance company is

bined unitary income under the water’s edge rules, do

generally the lesser of 7.9% of its net income or 2% of

not include it in the computation of line 19 of Form 6I.

its gross premiums, this is where you compute an

adjustment to the insurance company’s tax liability in

You will account for it on line 22 instead.

cases where the 2% of gross premiums computation

■ Line 20. Apportionment Percentage Enter the

applies.

company’s Wisconsin percentage of combined unitary

■ Line 25. Wisconsin Net Income – For insurance

income from Form 6, Part III, line 1d, or if a member of

100% Wisconsin group, enter "100.0000%".

companies that are combined group members, Wis-

consin net income is computed from the amounts on

the member’s Form 6, Part III as follows:

CAUTION: Do not enter the entire combined group’s

Wisconsin apportionment percentage on line 20.

Share of combined unitary income (= line 2 + 3)

Enter only the insurance company’s Wisconsin

+ Income from separate entity items (line 4)

percentage of combined unitary income.

Net capital loss adjustment (line 5)

Net business loss carryforward (line 7)

■ Line 22. Dividends Received Deduction from

Separate Entity Items – Complete this line if any of

Wisconsin net income

the insurance company’s dividend income met the first

■ Line 27a. Gross Premiums – The franchise tax

two criteria in the list presented in the instructions for

measured by net income attributable to all lines of in-

line 19, but was not otherwise includable in combined

surance in Wisconsin may not exceed 2% of the gross

unitary income. From this dividend income, subtract

Wisconsin premiums as defined in sec. 76.62, Wis.

any foreign taxes on those dividends claimed as a de-

Stats. On line 27a, enter the amount of gross premi-

duction elsewhere on your return, and multiply the re-

ums, other than life insurance premiums, received for

sulting amount by the apportionment percentage from

direct insurance less return premiums and cancella-

Part II of Form N. Enter the total on line 22 as a nega-

tions and returns from savings and gains on all insur-

tive number.

ance other than reinsurance by the insurer during the

■ Line 24. Net Business Loss Adjustment – Enter

preceding year in Wisconsin.

this amount on Form 6, Part III, line 6.

Attach a schedule detailing the computation of Wis-

consin gross nonlife premiums, including references to

the applicable schedules, columns, and lines of your

annual statement.

■ Line 30. Tax Adjustment – The amount of each in-

surance company member's column on Form 6, Part

III, line 9 should equal the line 30 amount for that mem-

ber.

IC-502

Instructions For 2015 Form 6i: Wisconsin Adjustments For Insurance Companies Page 3

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