Composite Returns

[momof3]

Client is a partner in a law firm. Has to decide whether to participate in composite returns or not. How do you determine whether he should or not? States are RI, NJ, DE, NY.

Thanks again.

[OldJack]

What is a composite return?

[jainen]

>>What is a composite return?<<

It either means when you buy too much chipboard, or the way sunflowers reseed themselves every year.

[Jake]

What is a composite return?

I suspect what the poster is referring to is the option that pass through entities sometimes have to pay the state taxes for the out of state income on behalf of a member/owner. The benefit is that the taxpayer will not have to file additional state tax returns. In my limited experience I have found that from a bottom line tax perspective it doesn't really matter if a composite return is filed or not.

[RJM]

Thanks Jake, I never heard of this before !