Looking for a Form 1120-pc Templates? Download it for free!

Annual information statement for

certain information about the reportable

corporation has a P.O. box, show the box

elections under section 108(i). If the

transaction by filing Form 8918, Material

number instead.

corporation made an election in 2009 or

Advisor Disclosure Statement, with the

Note. Do not use the address of the

2010 to defer income from cancellation of

IRS. See the Instructions for Form 8918.

registered agent for the state in which the

debt (COD) in connection with the

Transfers to a corporation controlled

corporation is incorporated. For example,

reacquisition of an applicable debt

by the transferor. Every significant

if a business is incorporated in Delaware

instrument, the corporation must attach a

transferor (as defined in Regulations

or Nevada and the corporation’s principal

statement to its return beginning with the

section 1.351-3(d)) that receives stock of

office is located in Little Rock, AR, the

tax year following the tax year for which

a corporation in exchange for property in

corporation should enter the Little Rock

the corporation made the election, and

a nonrecognition event must include the

address.

ending the first tax year all income

statement required by Regulations

deferred has been included in income.

If the corporation receives its mail in

section 1.351-3(a) on or with the

The statement must be labeled “Section

care of a third party (such as an

transferor’s tax return for the tax year of

108(i) Information Statement” and must

accountant or an attorney), enter on the

the exchange. The transferee corporation

clearly identify, for each applicable debt

street address line “C/O” followed by the

must include the statement required by

instrument to which an election under

third party’s name and street address or

Regulations section 1.351-3(b) on or with

section 108(i) applies, any deferred:

P.O. box.

its return for the tax year of the exchange,

•

COD income that is included in income

unless all the required information is

Item A. Identifying

in the current tax year.

included in any statement(s) provided by

•

COD income that has been accelerated

a significant transferor that is attached to

Information

because of an event described in section

the same return for the same section 351

108(i)(5)(D) and must be included in

exchange. If the transferor or transferee

Consolidated Return

income in the current tax year. Include a

corporation is a controlled foreign

description and the date of the

If an affiliated group of corporations

corporation, each U.S. shareholder

acceleration event.

includes one or more domestic life

(within the meaning of section 951(b))

•

COD income that has not been

insurance companies taxed under section

must include the required statement on or

included in income in the current or prior

801, the common parent may elect to

with its return.

tax years.

treat those companies as includible

Distributions under section 355. Every

•

OID deduction allowed as a deduction

corporations. The life insurance

corporation that makes a distribution of

in the current tax year.

companies must have been members of

•

stock or securities of a controlled

OID deduction that is allowed as a

the group for the 5 tax years immediately

corporation, as described in section 355

deduction in the current tax year because

preceding the tax year for which the

(or so much of section 356 as it relates to

of an accelerated event described in

election is made. See section 1504(c)(2)

section 355), must include the statement

section 108(i)(5)(D).

and Regulations section

•

required by Regulations section 1.355-5

OID deduction that has not been

1.1502-47(d)(12).

on or with its return for the year of the

deducted in the current or prior tax years.

Corporations filing a consolidated

distribution. If the distributing corporation

In addition, include a copy of the

return must check box 1 of Item A and

is a controlled foreign corporation, each

election statement the corporation filed to

attach Form 851, Affiliations Schedule,

U.S. shareholder (within the meaning of

make the election to defer the income.

and other supporting statements to the

section 951(b)), must include the

For more information regarding the

return. Also, for the first year a subsidiary

statement on or with its return.

annual information statement, see Rev.

corporation is being included in a

Dual consolidated losses. If a

Proc. 2009-37, 2009-36 I.R.B. 309.

consolidated return, attach Form 1122,

domestic corporation incurs a dual

Authorization and Consent of Subsidiary

consolidated loss (as defined in

Other forms and statements. See Pub.

Corporation To Be Included in a

Regulations section 1.1503-2(c)(5)), the

542, Corporations, for a list of other forms

Consolidated Income Tax Return, to the

corporation (or consolidated group) may

and statements a corporation may need

parent’s consolidated return. Attach a

need to attach an elective relief

to file in addition to the forms and

separate Form 1122 for each new

agreement and/or an annual certification

statements discussed throughout these

subsidiary being included in the

as provided in Regulations section

instructions.

consolidated return.

1.1503-2(g)(2).

File supporting statements for each

Election to reduce basis under section

corporation included in the consolidated

Specific Instructions

362(e)(2)(C). The transferor may make

return. Do not use Form 1120-PC as a

an election under section 362(e)(2)(C) to

substitute for the supporting statement.

limit the transferor’s basis in the stock

Period Covered

On the supporting statement, use

received instead of the transferor’s basis

columns to show the following, both

in the transferred property. The transferor

Generally, file the 2011 return for

before and after adjustments.

can make the election by including the

calendar year 2011. However, if an

1. Items of gross income and

certification as provided in Notice

insurance company joins in the filing of a

deductions.

2005-70, 2005-2, C.B. 694 on or with its

consolidated return, it may adopt the tax

2. A computation of taxable income.

tax return filed by the due date (including

year of the common parent corporation

3. Balance sheets as of the beginning

extensions) for the tax year in which the

even if that year is not a calendar year.

and end of the tax year.

transaction occurred. If the transferor is a

For a fiscal or short tax year return, fill in

4. A reconciliation of income per

controlled foreign corporation, its

the tax year space at the top of the form.

books with income per return.

controlling U.S. shareholder(s) can make

5. A reconciliation of retained

the election. The common parent of a

Name and Address

earnings.

consolidated group can make the election

Enter the corporation’s true name (as set

for the group.

forth in the charter or other legal

Enter on Form 1120-PC the totals for

If the election is made as described

document creating it), address, and EIN

each item of income, gain, loss, expense,

above, no election need be made by the

on the appropriate lines. Enter the

or deduction, net of eliminating entries for

transferee (or any controlling U.S.

address of the corporation’s principal

intercompany transactions between

shareholder thereof).

office or place of business. Include the

corporations within the consolidated

Once made, the election is irrevocable.

suite, room, or other unit number after the

group. Attach consolidated balance

See section 362(e)(2)(C) and Notice

street address. If the post office does not

sheets and a reconciliation of

2005-70.

deliver mail to the street address and the

consolidated retained earnings.

-5-

Instructions for Form 1120-PC (2011)

Instructions For Form 1120-Pc - U.s. Property And Casualty Insurance Company Income Tax Return Page 5

Related Articles

Related Categories