5703-5-01 Definitions applicable to rules 5703-5-01 to 5703-5-05 of the Administrative Code.

As used in rules 5703-5-01 to 5703-5-05 of the Administrative Code:

(A) "Annual accounting period" means the annual period on the basis of which the taxpayer regularly computes its income in keeping its books.

(B) "Corporate franchise tax" means the tax imposed under section 5733.06 of the Revised Code.

(C) "Corporation" includes, to the extent not exempted from the corporate franchise tax under section 5733.09 , 5733.10 , or division (J) of section 5733.04 of the Revised Code, corporations organized for profit under the laws of any state or country; nonprofit corporations organized under Chapter 1729. of the Revised Code or organized or operating, in the same or similar manner as nonprofit corporations organized under Chapter 1729. of the Revised Code, under the laws of any state or country other than Ohio; business trusts as defined in division (A) of section 1746.01 of the Revised Code; and financial institutions as defined in division (A) of section 5725.01 of the Revised Code.

(D) "Domestic corporation" includes corporations organized under the laws of this state, and federally chartered financial institutions having their principal offices within this state.

(E) "Foreign corporation" includes corporations, except federally chartered financial institutions, organized under the laws of any state or country other than Ohio, and federally chartered financial institutions having their principal offices without this state.

(F) "Internal Revenue Code" means the Internal Revenue Code of 1986, 100 Stat. 2085, 26 U.S.C. 1 , as now or hereafter amended.

(G) "Net income basis" means the base or measure of corporate franchise tax under division (B) of section 5733.05 of the Revised Code.

(H) "Net worth basis" means the base or measure of corporate franchise tax under division (A) of section 5733.05 of the Revised Code.

(I) "New taxpayer" means a domestic corporation that, during the calendar year immediately preceding the tax year, becomes chartered under the laws of this state, or a foreign corporation that, during the calendar year immediately preceding the tax year, begins doing business in this state, owning or using a part or all of its capital or property in this state, or holding a certificate of compliance with the laws of this state authorizing it to do business in this state. A domestic corporation becomes a new taxpayer on the date that it is chartered, and a foreign corporation becomes a new taxpayer on the earlier of the date that it begins doing business in this state, owning or using a part or all of its capital or property in this state, or holding a certificate of compliance with the laws of this state authorizing it to do business in this state.

(J) "Ohio net income for the period" means the total net income for the period that has been allocated and apportioned to Ohio prior to allowance of any Ohio net operating loss deduction.

(K) "Prior taxable year" means the taxable year used to measure the taxpayer's corporation franchise tax for the immediately preceding tax year.

(L) "Tax year" means the calendar year in and for which the corporate franchise tax is required to be paid.

(M) "Taxable year" means:

(1) For purposes of the net income basis, the year or portion of a year upon whose net income the value of the taxpayer's issued and outstanding shares of stock is determined;

(2) For purposes of the net worth basis, the year or portion of a year at the end of which the value of the taxpayer's issued and outstanding shares of stock is determined.

(N) "Taxpayer" means a corporation subject to the corporate franchise tax.

Eff 12-30-89
Rule promulgated under: RC 5703.14
Rule authorized by: RC 5703.05
Rule amplifies: RC 5733.031 , 5733.04 , 5733.05