The Department of Revenue is processing 2023 income tax returns. For more information, please read the Department's announcement.

 
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Retroactive SALT Parity Act Composite Reporting 2018-2021

Filing a Retroactive SALT Parity Composite Reporting Return

If the partnership or S corporation does not currently have a Revenue Online account, one will need to be created prior to filing the amended return.

The Retroactive SALT Parity Composite Reporting Return will be available through Revenue Online from September 1, 2023, to June 30, 2024; no paper forms will be available. The link to access the Retroactive Salt Parity Act Return will first be activated in the 2023 tax year and will remain open until December 31, 2023. For the 2024 tax year, the link will be available from January 1 to June 30, 2024, all links will be deactivated on July 1, 2024. 

Partnerships and S corporations should not file an amended return within the specific individual 2018-2021 filing years. The Department has streamlined the process, requiring only one return to be filed for all tax years being included in the election.

Taxpayers must make the election for tax years 2018 - 2021 using the Retroactive SALT Parity Act Composite Reporting Return through Revenue Online, which is filed by the partnership or S corporation.  Partnerships and S corporations cannot make the election for these years by filing amended partnership or S corporation returns (DR 0106). 

The Retroactive SALT Parity Act Composite Reporting Return must report the tax calculated for the electing pass-through entity, any required qualified business income addback for each partner or shareholder and each partner’s or shareholder’s share of the tax paid with the composite amended return. Each partner’s or shareholder’s share of the tax paid, minus any additional tax owed for a qualified business income addback, will be refunded to them. 

The DR 1715 - Partner or Shareholder Declaration for Qualified Business Income Deduction Addback Required for a Retroactive SALT Parity Act Election is being provided to help partnerships and S corporations collect the necessary information needed to file the return. Partnerships and S corporations should retain this form in their records. Do not return this document to the Department. Partners or shareholders who are corporations or partnerships do not need to complete this form. However, corporate and partnership partners should ensure that the electing pass-through entity has their current mailing address to avoid delays in receiving the refund of the resulting credit.

Once the return is filed and full payment is received, please allow 30 days for processing and credits to be distributed to individual partner and shareholder members.

Please note

To ensure timely processing and accurate delivery of the refund to the partner or shareholder, please ensure that the mailing address information provided is complete and the most current for the partner. Submit the partner's full address, including any apartment or unit number, and the correct zip code. Old, incorrect or incomplete information for the mailing address will delay delivery or cause the partner’s refund to be issued to the wrong location.

When filing the return in Revenue Online, partner and shareholder information may be manually entered or the Partnership can use the Template for Retroactive SALT Parity Election excel spreadsheet to enter all partner and shareholder information and upload it in Revenue Online during the filing process.