The St. Louis corporation return is prepared for calendar, fiscal and short year corporations using federal and St. Louis entries. The following forms are prepared:
Form E-8, Application for Extension of Time to File Business Earnings Tax Return
Form E-234, Earnings Tax Return
Form E-6, Informational Disbursement Report
No Missouri state entries are necessary. Form E-8 is prepared when "STL" is entered on the Other category, Extensions worksheet, City extensions section and a St. Louis return is prepared. Form E-234 is prepared when "STL" is entered on the General category, Basic Data worksheet or the Common State category, State/City generation worksheet, or an entry is made on St. Louis worksheets.
Federal Form 1120, page 1, with supporting statements is attached to all copies of Form E-234.
Depreciation
St. Louis conforms to federal depreciation. No adjustments are made.
Federal Notes and Automatic Features
Form E-234 starts from federal taxable income. The following items carry to Form E-234 and do not require additional entries:
Interest on U.S. Obligations
Municipal Bond Interest (Except Missouri)
Capital Losses
State and Local Income Taxes
Employment Credits Wage Reduction
Interest on U.S. Obligations
Interest on U.S. obligations entered on the Income/Deductions category, Interest, Dividends and Passthrough Items worksheets is shown as a subtraction on the supporting statement for the "Other Income" line on Section A.
Municipal Bond Interest (Except Missouri)
Municipal bond interest entered on the Income/Deductions category, Interest worksheet with a state code other than "MO" is included on the supporting statement for the "Other Income" line on Section A.
Capital Losses
Capital losses limited on the federal return are fully deductible in St. Louis and are shown as a subtraction on the supporting statement for the "Other Income" line on Section A.
Tax Accrual
State and city taxes carry to the federal return only when a "State and City Tax Accrual Option" is selected on the General category, Return Options worksheet, Calculation Options section.
"Deduct on Federal, Adjust Balance Sheet" carries taxes computed on the state returns to page 1 of the federal return. The tax also accrues to the federal balance sheet.
"Deduct on Federal, Adjust Schedule M-1" carries state taxes to page 1 of the federal return but does not accrue them to the balance sheet. If required, a Schedule M-1 book/tax adjustment is made.
"Tax to Rental, Adjust Balance Sheet" carries state taxes to a rental schedule that carries to page 1 of the federal return, and accrues the tax to the balance sheet.
"Tax to Rental, Adjust Schedule M-1" carries state taxes to a rental schedule that carries to page 1 of the federal return, but does not accrue them to the balance sheet.
If an accrual option is not selected, taxes computed on the state returns do not carry to the federal return nor accrue to the balance sheet. State income taxes carry to the St. Louis return even if an accrual option is not selected.
Enter the state and tax amount in the Income/Deductions category, Business worksheet, Taxes and Licenses section. If a state is not entered, the state code entered on the General category, Basic Data worksheet, General section is used.
State and Local Income Taxes
State and local income taxes entered on the Income/Deductions category, Business worksheet, Taxes and Licenses section, the Rent and Royalty worksheet, Expenses section, the Farm / 4835 worksheet, Expenses section and accrued from state returns are subtracted from the total taxes reported on the federal return. The remaining taxes are included in the "Taxes" line on Section A-1 and a supporting statement is produced.
To override the total tax deduction, enter the amount on the St. Louis Income / Deductions worksheet, Deductions section.
Employment Credits Wage Reduction
The reduction to salaries and wages made for employment credits claimed on the federal return is excluded for Section A-1.
To override the total salaries deduction, excluding salaries in cost of goods sold, enter the amount on the St. Louis Income / Deductions worksheet, Deductions section.
Consolidated Returns
Consolidated returns are not permitted under St. Louis law.
Amended Returns
If any amended return is filed, the transmittal letter and filing instruction will only print for the federal or state returns that are being amended. If there is a return that is not being amended, it will not be mentioned in the transmittal letters. Also, the cover letter is not prepared if the federal or any state return is being amended.
St. Louis Frequently Asked Questions
Q. Where do I make the bonus depreciation adjustment?
A. St. Louis conforms to the federal bonus depreciation. No adjustments are made.
Q. When is the St. Louis return due?
A. Form E-234 is due on or before April 15. Fiscal year returns must be filed within 105 days after the close of the fiscal year.
Q. Where do I enter St. Louis extension information?
A. Enter "STL" on the Other category, Extensions worksheet, State / City Extension sections to produce St. Louis extension Form E-8. All extension information is entered here.
Q. Where do I enter St. Louis apportionment data?
A. Enter the apportionment data on the St. Louis Income / Deductions worksheet, Allocation and Apportionment section. This information carries to Form E-234, Section B.