Abstract
Although Corporate America is not happy about Schedule UTP, most corporations seem resigned to the schedule’s existence and are now attempting to comply. In the process, Corporations have been addressing many technical questions, but two seem to be receiving the most attention: the definition of a “tax reserve”, and the application of the transition rule to pre-2010 NOL carryforwards.
The current definition of tax reserve is circular and it is not clear whether it includes certain scenarios (e.g., deferred tax reserves). The application of the transition rule is of significant importance to corporations that incurred NOL carryforwards during the recession from 2007 to 2009 and expect to utilize those carryforwards in 2010 and later years. The author addresses these two issues in depth and offers various alternative approaches.
Disciplines
Tax Law
Date of this Version
March 2011
Recommended Citation
Harvey, J. Richard, "Schedule UTP - Two Major Issues" (2011). Working Paper Series. 160.
https://digitalcommons.law.villanova.edu/wps/art160
Comments
This paper appeared in Tax Notes, p. 1559, March 28, 2011