Connecticut Corporation Business Tax Return Apportionment Computation

Corporation Business Tax Return Apportionment Computation
Form CT-1120A
Corporation Business Tax Return
Apportionment Computation

Enter Income Year Beginning
M

Corporation name

2023

Form CT-1120A

Department of Revenue Services
State of Connecticut
(Rev. 12/23)
1120A 1223W 01 9999

M

-

D

D

-

2023
Y

Y

Y

and Ending

Y

M

M

-

D

D

-

Y

Y

Y

Y

Connecticut Tax Registration Number

Schedule Q - Net Income Apportionment

Column A
Connecticut

Do not include receipts from the sale of property if the property is not
held for sale in the ordinary course of business.
1. Gross receipts from sales of tangible personal property held for sale in
the ordinary course of trade or business

Column B
Everywhere

2. Gross receipts from services
3. Gross receipts from the rental, lease or license of real or tangible
personal property
4. Gross receipts from the rental, lease or license of intangible property
5. Interest
6. Gross receipts from the sale or disposition of real or intangible property
held for sale in the ordinary course of trade or business
7. Other
8. Total: Add Lines 1 through 7 in Column A and Column B.





Computation of Connecticut Net Income Apportionment Fraction
9. Apportionment fraction: Divide Line 8, Column A, by Line 8, Column B, and carry to six

places. Enter here and on Form CT‑1120, Schedule A, Line 2.

Schedule S - Minimum Tax Base Apportionment

Column A
Connecticut

0.

Column B
Everywhere

Column C



.00 

.00

		 (b)	Notes and accounts receivable 
Average
Monthly
Net Book Value 		 (c)	 Investments (other than stock) 

.00 

.00

.00 

.00

.00 

.00

.00

.00



.00 

.00



.00 

.00



.00 

.00



.00 

.00

.00

.00

.00

.00

Intangible
Assets

	 1.	(a)	 Cash

		 (d)	Other



	1.	Total
Tangible
Property

	 2.	(a)	 Inventories

		 (b)	Depreciable assets
Average
Monthly
Net Book Value 		(c)	Land
		 (d)	Other
	2.	Total
Apportionment 	3.	Total: Add Line 1 and Line 2.
Fraction

Visit us at portal.ct.gov/DRS for more information.

Divide Line 3,
Column A
by Line 3,
Column B.
Enter below and
on Form CT‑1120,
Schedule B, Line 2.
Carry to six places.

0.

Department of Revenue Services
State of Connecticut

Form CT-1120A Instructions

Filing Electronically
File Form CT-1120A electronically when filing Form CT‑1120,
Corporation Business Tax Return, using
myconneCT. DRS myconneCT allows
taxpayers to electronically file, pay and
manage state tax responsibilities.
Filing by Mail
If you file by mail, complete this form in blue or black ink only. Do not
use staples.
Please note that each form is year specific. To prevent any delay
in processing, the correct year’s form must be submitted to the
Department of Revenue Services (DRS).
Complete and file it as part of Form CT‑1120, Corporation Business
Tax Return, only if the company carried on business within and outside
Connecticut and was taxable in another state during the income year
for which the return is filed.
A corporation entitled to apportion its income must complete
Schedule Q or one of the special apportionment forms listed below.
Special apportionment forms are applicable for the following business
types:
•	Air Carriers calculate their apportionment fraction on Form
CT‑1120A‑A, Corporation Business Tax Return Apportionment
Computation - Air Carriers.
•	 Companies whose income is derived from credit card activities
calculate their apportionment fraction on Form CT‑1120A‑CCA,
Corporation Business Tax Return Apportionment Computation of
Income From Credit Card Activities.
•	 Manufacturers that report in NAICS Sectors 31, 32, or 33 that have
75% or more of its total gross receipts from the sale of tangible
personal property directly, or in the case of a subcontractor, indirectly
to the U.S. government may elect to calculate their apportionment
fraction using a three factor formula consisting of tangible property,
wages, salaries and other compensation, and double weighted
receipts. The election is irrevocable for, and applicable for, five
successive income years, and must be made on or before the due
date or extended due date of the Corporation Business Tax Return
for the income year.
	 To make this election, attach a statement with the apportionment
factor calculation to this return.
•	Broadcasters and Production Entities calculate their apportionment
fraction on Form CT‑1120A‑BPE, Corporation Business Tax Return
Apportionment Computation - Broadcasters and Production Entities.
•	 Securities Brokerage Services Companies calculate their
apportionment fraction on Form CT‑1120A‑SBC, Corporation
Business Tax Return Apportionment Computation - Securities
Brokerage Services.
•	 Companies not otherwise conducting business in Connecticut,
that are limited partners in a limited partnership doing business
in Connecticut may elect to apportion their net income inside and
outside Connecticut on Form CT‑1120A‑LP, Corporation Business
Tax Return Apportionment of Limited Partnership Interests.
•	 Motor Bus Companies and Motor Carriers calculate their
apportionment fraction on Form CT‑1120A‑BMC, Corporation
Business Tax Return Apportionment - Motor Bus and Motor Carrier
Companies. Income derived from sources other than carrying
passengers or tangible property for hire must be apportioned by an
apportionment fraction calculated on Form CT-1120A, Schedule Q.
•	 Financial Service Companies calculate their apportionment
fraction on Form CT‑1120A‑FS, Corporation Business Tax Return
Apportionment Computation of Income From Financial Service
Companies Activities.
• 	 Corporations that receive income from rendering services to or on
behalf of regulated investment companies use Form CT‑1120A‑IRIC,
Corporation Business Tax Return Apportionment Computation of
Income From Services to Regulated Investment Companies.
Corporate Partner
A corporation that owns an interest in a partnership or joint venture
should include its pro rata share of the partnership’s or joint venture’s
receipts in the numerator and denominator of the Connecticut statutory
apportionment formula, which is used to determine the corporation’s
Form CT-1120A Back (Rev. 12/23)

portion of its total net income subject to the Connecticut Corporation
Business Tax.
Schedule Q - Net Income Apportionment
To claim zero Connecticut apportionment, a figure must be entered in
the Everywhere column. Corporations not subject to industry‑specific
apportionment methods must use a single receipts factor to apportion
income using market‑based sourcing rules for sales of services and
intangible property. Do not include receipts from the sale of property
if the property is not held for sale in the ordinary course of business.
See Special Notice 2017(1), Legislative Changes Regarding
Single‑Sales Factor Apportionment and Market‑Based Sourcing, for
additional information.
Column A – Connecticut
Line 1 – Enter gross receipts from sales of tangible personal property
delivered or shipped to a purchaser (other than a company which
qualifies as a Domestic International Sales Corporation (DISC)) within
Connecticut regardless of F.O.B. point or other conditions of sale.
Line 2 – Enter gross receipts from services, where the market for the
services is within Connecticut. The market for the services is within
Connecticut if and to the extent the service is used within Connecticut.
Line 3 – Enter gross receipts from the rental, lease or license of real
or tangible personal property located within Connecticut.
Line 4 – Enter gross receipts from the rental, lease or license of
intangible property if and to the extent the property is used within
Connecticut. Intangible property utilized in marketing a good or
service is used in Connecticut if that good or service is purchased by
a consumer within Connecticut.
Line 5 – Enter gross receipts from interest managed or controlled
within Connecticut.
Line 6 – Enter gross receipts from the sale or other disposition of
real property or intangible property located, managed or controlled
within Connecticut held for sale to customers in the ordinary course
of business. Do not include receipts from property not held for sale in
the ordinary course of business.
Schedule S - Minimum Tax Base Apportionment
To claim zero Connecticut apportionment, a figure must be entered
in the Everywhere column. This apportionment factor must include the
average monthly net book value of all assets exclusive of holdings of
stock of private (nongovernmental) corporations. The intangible assets
of a company that has its principal place of business within Connecticut
are deemed to have a tax situs within Connecticut unless it can be
clearly established that some or all of the assets are held in connection
with business conducted during the income year outside Connecticut.
Apportionment in Special Cases
The statutory method is designed to produce a reasonable
apportionment within and outside Connecticut, therefore, it must be
used in all cases except those in which it has been determined by
the Commissioner of Revenue Services that an exception should be
made. While the statutory method may produce a result substantially
different from that produced by some other method, that fact alone
does not justify an exception. It is the responsibility of the taxpayer
to show that the statutory apportionment fraction, when applied to its
business, provides grossly inequitable results and that the income
attributed to Connecticut is out of proportion to the business transacted
in Connecticut. The variance must be significant enough to invalidate
the assumption that the statutory method is reasonable.
The return of a taxpayer requesting relief from the statutory method
of apportionment must be filed initially on the statutory basis using the
formula methods prescribed in Conn. Gen. Stat. §§ 12‑218, 12‑218b,
12‑219a, or 12‑244 for computing the net income and the minimum tax
base, together with: (1) payment of the tax due on the applicable base
as so computed, and (2) a statement containing a specific alternate
method. Data supporting the contention that the operation of the
statutory method is grossly inequitable and attributes to Connecticut
an undue proportion of the taxpayer’s net income or minimum tax base
must be provided. Permission to determine the tax on an alternate basis
will not be considered in any case in which this procedure has not been
strictly followed.
The Commissioner will notify the company as to whether the proposed
alternate method of apportionment is accepted or rejected. If the
proposed method is accepted, the tax will be adjusted.