The Office of Tax and Revenue (OTR) is having published in today’s edition of the DC Register amended proposed combined reporting regulations.  Original regulations proposed by OTR on January 20, 2012, have been revised to reflect feedback received during the 30-day comment period.  Taxpayers may submit comments on the amended regulations through September 7, 2012.  Subject to any changes, the regulations are expected to become final on September 14, 2012.  The amended proposed regulations may be viewed here: http://www.dcregs.dc.gov/Gateway/NoticeHome.aspx?NoticeID=3291130

The amended regulations specifically clarify that, for apportionment purposes, the District has adopted the Joyce method, unincorporated businesses are includable entities in the combined group, and QHTCs are excluded.  The regulations also contain new sections which pertain to the FAS 109 deduction, REITs, RICs, and the water’s-edge group.  Two detailed examples regarding how unincorporated businesses are included in the combined group will also be posted on our website shortly.  Finally, OTR has created a “Combined Reporting” webpage where taxpayers will be able to find combined reporting statutes, regulations, forms, schedules, worksheets, notices and additional guidance.

Comments on this proposed rulemaking should be submitted in writing to Aaishah Hashmi, assistant general counsel, Office of Tax and Revenue, 1101 4th Street, SW, 7th Floor, Washington, DC 20024, or via email at [email protected] no later than seven (7) days after publication of this notice in the DC Register.