Gail in Virginia Posted March 5, 2008 Report Posted March 5, 2008 Help! I have a client with a West Virginia S-Corp. I did the return last year and really didn't question the way the computer prepared the franchise tax return. But this year I noticed that it is putting the retained earnings account and the accumulated adjustments account both on the calculation sheet for this tax. They are the same number - does he really have to pay tax on this same amount twice? It did not work this way last year, so one year or the other is wrong. I think it is this year, but I have very little experience with West Virginia taxes, and would love to hear from someone experienced with the franchise taxes on capital in West Virginia. Thanks. Quote
cpabsd Posted March 5, 2008 Report Posted March 5, 2008 I prepare WV returns regularly. There was no change in WV rule regarding Franchise taxes. It is an ATX problem. I have been removing the amount carried over for Retained Earnings and then the calculation is correct. The amounts should be on one line if they are an S corp and have always been one. Quote
Gail in Virginia Posted March 6, 2008 Author Report Posted March 6, 2008 Thank you. That was what I thought, but I am so unfamiliar with these that it is nice to have confirmation. Quote
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