Regulation 1997-4 - Comprehensive Individual Income Tax Regulations

  1. Rule 26-18-105 - DATE OF PERFORMANCE (1.26-18-105(a)(2) to 1.26-18-105(b))
  2. Rule 26-18-208 - ADDITIONAL PENALTIES AND TAX (1.26-18-208(3)(B) to 1.26-18-208(6))
  3. Rule 26-18-306 - TIME LIMITATIONS FOR ASSESSMENTS, COLLECTION, REFUNDS AND PROSECUTION (1.26-18-306(b) to 1.26-18-306(i)(2))
  4. Rule 26-18-404 - TAXPAYER RELIEF (1.26-18-404(c))
  5. Rule 26-18-405 - HEARING ON PROPOSED ASSESSMENTS (1.26-18-405(d)(4)(A))
  6. Rule 26-18-406 - JUDICIAL RELIEF (1.26-18-406(a))
  7. Rule 26-18-505 - EXTENSION OF TIME FOR FILING RETURNS (1.26-18-505(a)(3)(A) to 1.26-18-505(a)(4))
  8. Rule 26-18-506 - PRESERVATION OF RECORDS BY TAXPAYER (1.26-18-506(b) to 1.26-18-506(d))
  9. Rule 26-18-507 - CLAIMS FOR REFUNDS OF OVERPAYMENTS (1.26-18-507(a) to 1.26-18-507(e)(2))
  10. Rule 26-18-801 - TAXPAYER BILL OF RIGHTS (1.26-18-801)
  11. Rule 26-51-102 - DEFINITIONS (1.26-51-102(8) to 4.26-51-102(8))
  12. Rule 26-51-202 - NONRESIDENTS (1.26-51-202(a) to 1.26-51-202(c))
  13. Rule 26-51-203 - FIDUCIARIES (1.26-51-203)
  14. Rule 26-51-305 - INCOME FROM SALE OF HOME (1.26-51-305(a) to 1.26-51-305(d)(1))
  15. Rule 26-51-306 - COMPENSATION AND BENEFITS FROM MILITARY SERVICE (1.26-51-306 to 3.26-51-306)
  16. Rule 26-51-307 - RETIREMENT PLANS AND DISABILITY BENEFITS (1.26-51-307 to 4.26-51-307)
  17. Rule 26-51-401 - TAX YEAR - ACCOUNTING METHOD (1.26-51-401(a) to 1.26-51-401(b))
  18. Rule 26-51-402 - TAX YEAR - BASIS FOR DETERMINING LIABILITY (1.26-51-402(a))
  19. Rule 26-51-403 - INCOME GENERALLY (1.26-51-403(b) to 1.26-51-403(b)(13))
  20. Rule 26-51-404 - GROSS INCOME GENERALLY (1.26-51-404(a)(1) to 1.26-51-404(b)(15))
  21. Rule 26-51-405 - PARTNERSHIP INCOME (2.26-51-405 to 2.26-51-405(a))
  22. Rule 26-51-409 - FEDERAL SUBCHAPTER S ADOPTED (1.26-51-409 to 3.26-51-409(c)(1))
  23. Rule 26-51-410 - INVENTORY (1.26-51-410)
  24. Rule 26-51-411 - GAIN OR LOSS - SALES OF PROPERTY (1.26-51-411(a) to 6.26-51-411(a))
  25. Rule 26-51-412 - GAIN OR LOSS - EXCHANGE OF PROPERTY (1.26-51-412(a) to 3.26-51-412(c))
  26. Rule 26-51-413 - CORPORATE LIQUIDATIONS (1.26-51-413 to 2.26-51-413)
  27. Rule 26-51-414 - DEFERRED COMPENSATION PLANS (1.26-51-414 to 6.26-51-414)
  28. Rule 26-51-416 - DEDUCTIONS - TAXES (1.26-51-416)
  29. Rule 26-51-419 - DEDUCTIONS - CHARITABLE CONTRIBUTIONS (1.26-51-419)
  30. Rule 26-51-423 - DEDUCTIONS - EXPENSES (1.26-51-423(a) to 1.26-51-423(c)(1))
  31. Rule 26-51-424 - DEDUCTIONS - LOSSES (1.26-51-424(a)(1) to 6.26-51-424(a)(1))
  32. Rule 26-51-425 - DEDUCTIONS - WORTHLESS DEBTS (1.26-51-425 to 3.26-51-425)
  33. Rule 26-51-427 - DEDUCTIONS - NET OPERATING LOSS CARRYOVER (1.26-51-427 to 2.26-51-427)
  34. Rule 26-51-428 - DEDUCTIONS - DEPRECIATION; EXPENSING OF PROPERTY (1.26-51-428(a) to 1.26-51-428(c))
  35. Rule 26-51-435 - NONRESIDENTS OR PART-YEAR RESIDENTS (1.26-51-435(a)&(b) to 2.26-51-436(2))
  36. Rule 26-51-436 - MEDICAL SAVINGS ACCOUNTS (1.26-51-436(5) to 1.26-51-440)
  37. Rule 26-51-440 - FASITs (2.26-51-440 to 1.26-51-447)
  38. Rule 26-51-502 - HOUSEHOLD AND DEPENDENT CARE SERVICES (1.26-51-502(a)&(b)(1) to 1.26-51-503)
  39. Rule 26-51-504 - INCOME FROM SOURCES OUTSIDE ARKANSAS (1.26-51-504(a) to 1.26-51-504(c))
  40. Rule 26-51-801 - RETURNS BY INDIVIDUALS (1.26-51-801(a) to 1.26-51-801(e))
  41. Rule 26-51-802 - PARTNERSHIP RETURNS (1.26-51-802(a) to 1.26-51-802(b))
  42. Rule 26-51-803 - FIDUCIARY RETURNS (1.26-51-803)
  43. Rule 26-51-806 - FILING RETURNS - TIME AND PLACE - FORMS (1.26-51-806(a) to 1.26-51-806(c))
  44. Rule 26-51-807 - FILING RETURNS - EXTENSIONS OF TIME (1.26-51-807(a) to 1.26-51-807(b))
  45. Rule 26-51-808 - FAILURE TO FILE RETURN OR INCLUDE INCOME (1.26-51-808(a)&(b) to 1.26-51-808(c))
  46. Rule 26-51-809 - RECEIPTS FOR TAXES (1.26-51-809)
  47. Rule 26-51-810 - FORMS FOR TAX PRACTITIONERS (1.26-51-810)
  48. Rule 26-51-811 - INFORMATION AT SOURCE AS TO RECIPIENTS OF INCOME (1.26-51-811(a))
  49. Rule 26-51-813 - CONFIDENTIALITY OF REPORTS AND RETURNS (1.26-51-813 to 2.26-51-813)
  50. Rule 26-51-815 - COMPUTING CAPITAL GAINS AND LOSSES (1.26-51-815(a) to 1.26-51-815(c))
  51. Rule 26-51-902 - DEFINITIONS (1.26-51-902(1) to 1.26-51-902(13)(B)(i) & (ii))
  52. Rule 26-51-908 - FILING OF EMPLOYER'S WITHHOLDING RETURN AND PAYMENT OF INCOME TAXES WITHHELD (1.26-51-908(a) to 1.26-51-908(g))
  53. Rule 26-51-909 - ANNUAL WITHHOLDING STATEMENT (1.26-51-909(a) to 1.26-51-909(b))

ARKANSAS CORPORATION INCOME TAX REGULATIONS

Pursuant to the authority vested in the Commissioner of Revenues and in compliance with Ark. Code Ann. § 26-18-301 and § 26-51-104, the Commissioner of Revenues of the Department of Finance and Administration, with the approval of the Governor, does hereby promulgate the following rules and regulations for the enforcement and administration of Ark. Code Ann. §26-51101 et seq.

EFFECTIVE DATE: All regulations previously promulgated by the Commissioner of Revenues for purposes of enforcing or implementing the Arkansas Income Tax Act of 1929 (as amended) are hereby specifically repealed as of the effective date of these regulations.

PURPOSE OF THE REGULATIONS: The following regulations are promulgated to implement and clarify the Arkansas Income Tax Act of 1929 (§ 26-51-101 et seq.), as amended. All persons affected by or relying upon these regulations are advised to read them in their entirety, as the meaning of the provisions of one regulation may depend upon the provisions contained in another regulation.

INTERPRETATION: In those instances where Arkansas has adopted a section of the Internal Revenue Code (IRC) as its own law, the regulations promulgated by the Treasury Department to aid in interpreting the IRC section should be used for guidance in applying the law. Moreover, when an IRC section is adopted, that section is adopted in its entirety, despite language in the Arkansas adoption statute such as "regarding" which could be construed to limit the scope of the adoption.

INDEX

INDIVIDUAL INCOME TAX REGULATIONS

REGULATION NUMBER

PAGE NUMBER

ADDITIONAL PENALTIES AND TAX

Failure to File and Failure to Pay Penalties

1. 26-18-208(3)(B)

12

Underestimated Tax Penalty

1. 26-18-208(6)(A)

12

ADOPTED INTERNAL REVENUE CODES

Alpha Listing

3

Numeric Listing

8

ANNUAL WITHHOLDING STATEMENT

Filing Requirement

1. 26-51-909(a)

98

Filing Requirement -- Due Date

1. 26-51-909(b)

98

ASSEMBLING YOUR ARKANSAS RETURN

2

CLAIMS FOR REFUNDS OF OVERPAYMENTS

Grounds for Refund Claim

1. 26-18-507(a)

15

Form and Procedure for Refund Claims

1. 26-18-507(i)(1)

15

Judicial Relief

1. 26-18-507(e)(2)

15

COMPENSATION AND BENEFITS FROM MILITARY SERVICE

Exemption Amount

1. 26-51-306

26

Combat Pay

1. 26-51-306(a)(4)

27

Service Allowances

2. 26-51-306

27

United States Armed Services Defined

3. 26-51-306

27

COMPUTING CAPITAL GAINS AND LOSSES

Computing Capital Gains and Losses -- Generally

1. 26-51-815(a)

91

Computation of Tax

1. 26-51-815(b)

92

Exclusion of Small Business Stock from Gain

1. 26-51-815(c)

94

CONFIDENTIALITY OF REPORTS AND RETURNS

Confidentiality -- Generally

1. 26-51-813

90

Confidentiality - Exceptions

2. 26-51-813

90

CORPORATE LIQUIDATIONS

Amounts Distributed in Complete Liquidation

1. 26-51-413

55

Stock Purchase Treated as Asset Acquisition

2. 26-51-413

56

DATE OF PERFORMANCE

U.S. Postal Service Postmark

1. 26-18-105(a)(2)

12

When Last Day is a Saturday, Sunday or Legal Holiday

1. 26-18-105(b)

12

DEDUCTIONS - CHARITABLE CONTRIBUTIONS

Charitable Contributions

1. 26-51-419

60

DEDUCTIONS - COLLEGE AND TECHNICAL SCHOOL TUITION

1. 26-51-447

76

DEDUCTIONS - DEPRECIATION; EXPENSING OF PROPERTY

Depreciation

1. 26-51-428(a)

70

Amortization of Intangibles

1. 26-51-428(c)

70

DEDUCTIONS - EXPENSES

Types of Deductions

1. 26-51-423(a)

60

Long-Term Care Insurance Premiums (Business Expenses)

1. 26-51-423(a)(1)

61

Long-Term Care Insurance Premiums (Medical Expenses)

1. 26-51-423(a)(2)

61

Travel and Entertainment

1. 26-51-423(b)

61

Medical Care Insurance Premiums (Business Expenses)

1. 26-51-423(c)(1)

61

DEDUCTIONS - LOSSES

Losses

1. 26-51-424(a)(1)

62

Transfer of Property to Related Person

2. 26-51-424(a)(1)

62

Voluntary Removal or Demolition

3. 26-51-424(a)(1)

62

Obsolescence

4. 26-51-424(a)(1)

63

Shrinkage in Value of Stock

5. 26-51-424(a)(1)

63

Farm Losses

6. 26-51-424(a)(1)

63

DEDUCTIONS -- NET OPERATING LOSS CARRYOVER

Net Operating Loss Carryover

1. 26-51-427

65

Net Operating Loss Carryover - Adjustments

2. 26-51-427

69

DEDUCTIONS -- PASSIVE ACTIVITY LOSS

1. 26-51-436(2)

71

DEDUCTIONS - TAXES

State Income Taxes

1. 26-51-416

60

DEDUCTIONS - WORTHLESS DEBTS

Worthless Debts

1. 26-51-425

64

Mortgaged or Pledged Property Sold for Less

Than the Amount of the Debt

2. 26-51-425

64

Bonds or Other Similar Obligations

3. 26-51-425

64

DEFERRED COMPENSATION PLANS

IRA's

1. 26-51-414

56

Lump-Sum Distributions

2. 26-51-414

56

Self-Employed Ministers

3. 26-51-414

57

Section 457 Plan Distributions

4. 26-51-414

57

Penalty-Free Withdrawals

5. 26-51-414

57

DEFINITIONS

Administrator

1. 26-51-102(8)

18

Charitable Trust

1. 26-51-102

18

Corporate Characteristics

1. 26-51-102(5)

18

Estate

2. 26-51-102

18

Estate Taxability

3. 26-51-102

18

Executor

2. 26-51-102(8)

19

Fiduciary

3. 26-51-102(8)

19

Grantor Trust

4. 26-51-102

19

Irrevocable Trust

5. 26-51-102

20

Limited Liability Company

6. 26-51-102

20

Limited Partnership

1. 26-51-102(4)

20

Partnership

2. 26-51-102(4)

21

Publicly Traded Partnership (PTP)

3. 26-51-102(4)

21

Resident

1. 26-51-102(9)

21

Residency Determination

2. 26-51-102(9)

21

Revocable Trust

7. 26-51-102

23

Trust

8. 26-51-102

23

Trust Taxability

9. 26-51-102

23

Trustee

4. 26-51-102(8)

23

WITHHOLDING DEFINITIONS

Agricultural Labor -- Federal Definition

1. 26-51-902(1)

94

Agricultural Labor -- When Nonagricultural Labor is also Performed

2. 26-51-902(1)

94

Agricultural Labor -- Landscaping Services

3. 26-51-902(1)

95

Employer

1. 26-51-902(6)

95

Transient Employer

1. 26-51-902(12)

95

Wages for Agricultural Labor -- Cash Remuneration

1. 26-51-902(13)(B)

96

Wages for Agricultural Labor -- Noncash Remuneration

2. 26-51-902(13)(B)

96

Withholding of Income Tax on Agricultural Wages

1. 26-51-902(13)(B)(i) &(ii)

96

EXTENSION OF TIME FOR FILING RETURNS

First Ninety Day Extension

1. 26-18-505(a)(3)(A)

14

Second Ninety Day Extension

1. 26-18-505(a)(3)(B)

14

Federal Extension Recognized

1. 26-18-505(a)(4)

14

FAILURE TO FILE RETURN OR INCLUDE INCOME

Taxpayer Required to File Return or Amended Return

1. 26-51-808(a) &(b)

88

Penalties, Prosecution, Jeopardy Assessments

1. 26-51-808(c)

89

FASITs

Defined

2. 26-51-440

74

Qualification Requirements

3. 26-51-440

74

Taxation of FASITs

4. 26-51-440

75

Taxation of Regular Interests

5. 26-51-440

75

Prohibited Transactions

6. 26-51-440

75

Transfers of Assets to FASITs

7. 26-51-440

75

FEDERAL SUBCHAPTER S ADOPTED

IRC Subchapter S Adopted

1. 26-51-409

47

Corporations That Must File as an S Corporation

2. 26-51-409

47

Applicable Rules - Generally

3. 26-51-409

48

Auditing

4. 26-51-409

48

Consistency Between Returns

5. 26-51-409

48

Reporting S Corporation Income, Loss, Deductions and Credits

1. 26-51-409(c)(1)

48

S Corporation Reporting; Shareholder Termination

2. 26-51-409(c)(1)

48

Shareholder Basis

3. 26-51-409(c)(1)

49

FIDUCIARIES

Fiduciaries -- Generally

1. 26-51-203

25

FIDUCIARY RETURNS

Fiduciary Returns -- Generally

1. 26-51-803

85

FILING RETURNS -- EXTENSIONS OF TIME

Extension of Time -- Generally

1. 26-51-807(a)

87

Payment of Tax, Penalty and Interest

1. 26-51-807(b)

88

FILING RETURNS -- TIME AND PLACE -- FORMS

Due Date and What Constitutes Filing

1. 26-51-806(a)

86

Responsibility for Obtaining and Filing Returns

1. 26-51-806(b)(1)

86

Signing Returns

1. 26-51-806(c)

86

FILING OF EMPLOYER'S WITHHOLDING RETURN AND PAYMENT OF INCOME TAXES WITHHELD

Filing Schedule for Employer's Withholding Returns

1. 26-51-908(a)

97

Transient Employer

1. 26-51-908(b)

97

Employers Engaged in a Seasonal Business

1. 26-51-908(c)

97

Filing Requirements when Employer no Longer Withholds Income Tax

1. 26-51-908(g)

98

FORMS FOR TAX PRACTITIONERS

Fee Charged by Department

1. 26-51-810

89

FORMS INDEX FOR INDIVIDUAL INCOME TAX

1

GAIN OR LOSS - EXCHANGE OF PROPERTY

Exchange of Property for Like Property

1. 26-51-412(a)

52

Exchange of Property for Property Not of Like Kind

2. 26-51-412(a)

53

Dividends Paid In Securities or Other Property

3. 26-51-412(a)

53

Property Acquired as a Result of an Involuntary Conversion

4. 26-51-412(a)

54

Basis of Stock Received for Property - Real, Personal or Mixed

1. 26-51-412(b)

54

Stock or Securities Exchanged in a Reorganization

1. 26-51-412(c)

54

Stock or Securities Received in a Reorganization

2. 26-51-412(c)

55

Basis of Stock or Securities Received in a Reorganization

3. 26-51-412(c)

55

GAIN OR LOSS - SALES OF PROPERTY

Amount Realized on Disposition of Property

1. 26-51-411(a)

50

Sale of Shares of Stock

2. 26-51-411(a)

50

Sale of Real Estate or Personal Property

3. 26-51-411(a)

52

Sale of Property Acquired by Gift

4. 26-51-411(a)

52

Basis of Property Acquired On or Before March 9, 1929

5. 26-51-411(a)

52

Patents and Copyrights

6. 26-51-411(a)

52

GROSS INCOME GENERALLY

Classes of Income

1. 26-51-404(a)(1)

33

Income Credited to an Account

2. 26-51-404(a)(1)

34

Gross Income -- Manufacturing, Merchandising and Mining

3. 26-51-404(a)(1)

34

Gross Income -- Independent Contractor

4. 26-51-404(a)(1)

34

Services Paid For With Other Than Money

5. 26-51-404(a)(1)

34

Notes of Indebtedness Used in Payment

6. 26-51-404(a)(1)

35

Scholarships, Fellowships, Grants and Stipends

7. 26-51-404(a)(1)

35

Commissions, Tips and Other Types of Compensation

8. 26-51-404(a)(1)

35

Farm - Defined

9. 26-51-404(a)(1)

35

Gain on Sale of Property or Capital Assets

10. 26-51-404(a)(1)

36

Annuities and Endowment Contracts

11. 26-51-404(a)(1)

36

Cost Basis of Divided Tract of Land

12. 26-51-404(a)(1)

36

Buildings and Lease Hold Improvements

13. 26-51-404(a)(1)

37

Long-Term Contracts

14. 26-51-404(a)(1)

37

Stock Dividends and Distributions from Regulated Investment Companies

15. 26-51-404(a)(1)

37

Interest

16. 26-51-404(a)(1)

37

Installment Sales - Personal Property

1. 26-51-404(a)(2)

38

Installment Sales - Real Estate

2. 26-51-404(a)(2)

39

Gain on Sale - Involuntary Conversion

1. 26-51-404(b)(1)

40

Gain from Sale or Exchange of Principal Residence

1. 26-51-404(b)(2)

41

Life Insurance Proceeds

1. 26-51-404(b)(3)

41

Gifts

1. 26-51-404(b)(5)

43

Bequests, Devise or Descent

2. 26-51-404(b)(5)

43

Interest - Obligations of The United States or its Possessions

1. 26-51-404(b)(6)

43

Interest - Obligations of the State of Arkansas

2. 26-51-404(b)(6)

43

Social Security Benefits

1. 26-51-404(b)(7)

44

Unemployment Benefits Paid by Organized Union

2. 26-51-404(b)(7)

44

Unemployment Benefits Paid by State or Federal Agency

3. 26-51-404(b)(7)

44

Cancellation or Forgiveness of Debt

1. 26-51-404(b)(11)

44

Cafeteria Plan and FSA's

1. 26-51-404(b)(12)

44

Lawsuit Damages

1. 26-51-404(b)(15)

45

Tuition Savings Program (Act 1309 of 1997)

-- Generally

1.26-51-

98

-- Tax Consequences

2.26-51-

100

HEARING ON PROPOSED ASSESSMENTS

Hearing on Proposed Assessments

1. 26-18-405(d)(4)(A)

13

HOUSEHOLD AND DEPENDENT CARE SERVICES

General Requirements for the Credit

1. 26-51-502(a) &(b)(1)

76

Ten Percent (10%) Standard Credit

1. 26-51-502(b)(2)

77

Twenty Percent (20%) Approved Child Care Facility Credit

1. 26-51-502(c)(1)

77

Refundability

2. 26-51-502(c)(1)

78

Election of Credits

1. 26-51-502(c)(2)

78

INCOME FROM SALE OF HOME

One Time Exclusion of Gain from Gross Income

1. 26-51-305(a)

25

One Time Exclusion of Gain from Gross Income Amount Excludable

1. 26-51-305(b)

25

One Time Exclusion of Gain from Gross Income Example

1. 26-51-305(c)

26

One Time Exclusion of Gain from Gross Income Husband & Wife

1. 26-51-305(d)(1)

26

INCOME FROM SOURCES OUTSIDE ARKANSAS

Calculating the Credit

1. 26-51-504(a)

79

Prerequisites to Claiming the Credit

1. 26-51-504(b)

80

Restriction of Credit

1. 26-51-504(c)

80

INCOME GENERALLY

Income Generally

1. 26-51-403(b)

30

Long-Term Intergenerational Trusts

2. 26-51-403(b)

31

Border City Tax Exemption -- Texarkana

1. 26-51-403(b)(13)

31

INFORMATION AT SOURCE AS TO RECIPIENTS OF INCOME

Recipients of Income -- Generally

1. 26-51-811(a)

89

INVENTORY

What Constitutes Inventory

1. 26-51-410

49

JUDICIAL RELIEF

Judicial Relief

1. 26-18-406(a)

14

MEDICAL SAVINGS ACCOUNTS

Defined

1. 26-51-436(5)

72

Eligibility

2. 26-51-436(5)

72

Deductibility from Income

3. 26-51-436(5)

72

Exclusion from Income

4. 26-51-436(5)

73

Taxability of Account Earnings

1. 26-51-436(6)

73

Taxability of Account Distributions

1. 26-51-436(7)

73

NONRESIDENTS OR PART-YEAR RESIDENTS

Computing Taxable Income

1. 26-51-435(a) &(b)

70

Credit for Income Tax Paid to Another State

1. 26-51-435(c)

70

Computing Percentage of AGI Attributable to Arkansas

1. 26-51-435(d)

71

Calculating Arkansas Income Tax Due

1. 26-51-435(e)

71

NONRESIDENTS

Income Producing Property

1. 26-51-202(a)

24

Income Producing Property - Intangible

2. 26-51-202(a)

24

Nonresident Generally

1. 26-51-202(b)(1)

24

Income from Trust or Estate

1. 26-51-202(d)

24

Allocation of Income to Arkansas Sources

1. 26-51-202(c)

24

PARTNERSHIP INCOME

Partnership Income Generally -- Example

1. 26-51-405

45

Partnership Composite Return

2. 26-51-405

45

Partnerships

1. 26-51-405(a)

45

Distributive Share of Partnership Income

2. 26-51-405(a)

46

PARTNERSHIP RETURNS

Partnership Returns -- Generally

1. 26-51-802(a)

85

Partnership Income From Arkansas Sources

1. 26-51-802(b)

85

PASSIVE ACTIVITIES

Loss

1. 26-51-436(2)

71

Credit (Oil & Gas Properties)

2. 26-51-436(2)

71

PRESERVATION OF RECORDS BY TAXPAYER

Type of Records and Time Period

1. 26-18-506(b)

15

Insufficient Records and Estimated Assessment

1. 26-18-506(d)

15

RECEIPTS FOR TAXES

Receipts -- Generally

1. 26-51-809

89

RETARDED CHILD

Tax Credit - Mentally Retarded Child

1. 26-51-503

78

RETIREMENT PLANS AND DISABILITY BENEFITS

Retirement or Disability Benefits

1. 26-51-307

27

Premature Distribution

2. 26-51-307

28

Divorce

3. 26-51-307

28

Military Related Benefits

4. 26-51-307

28

RETURNS BY INDIVIDUALS

Who Should File

1. 26-51-801(a)

80

Filing Status "4" -- Married Filing Separately on the Same Return

2. 26-51-801(a)

81

Completing and Signing Returns

1. 26-51-801(c)

81

Head of Household

1. 26-51-801(d)(1)

81

Surviving Spouse

1. 26-51-801(d)(2)

81

Dependent Defined

1. 26-51-801(d)(4)

82

Withholding for Low Income Employees

1. 26-51-801(e)

84

SIMPLE PLANS

SIMPLE Retirement Saving Plans

6. 26-51-414

58

SUBCHAPTER M

Adopted

1. 26-51-440

73

SUBCHAPTER S

Adopted

1. 26-51-409

52

TAX YEAR - ACCOUNTING METHOD

Method of Accounting

1. 26-51-401(a)

29

Method of Accounting

2. 26-51-401(a)

29

Change in Method of Accounting

1. 26-51-401(b)

30

TAX YEAR - BASIS FOR DETERMINING LIABILITY

Tax Year - Calendar vs Fiscal Year

1. 26-51-402(a)

30

TAXPAYER BILL OF RIGHTS

Your Rights as a Taxpayer

1. 26-18-801

16

TAXPAYER RELIEF

Protest of Proposed Assessment

1. 26-18-404(c)

13

TIME LIMITATIONS FOR ASSESSMENTS, COLLECTION, REFUNDS AND PROSECUTION

Adjustment to Federal Return - Duty to Amend State Return

1. 26-18-306(b)

13

Time Limitation on Refunds and "Verified Claim" for Credit

1. 26-18-306(i)(2)

13

TUITION SAVINGS PROGRAM (Act 1309 of 1997)

Generally

1.26-51-

98

Tax Consequences

2.26-51-

100

Forms Index for Individual Income Tax

Form No.

Form Description

AR3

Itemized Deductions

AR4

Interest & Dividend Income

AR1000

Individual Income Tax Forms and Instructions

AR1000NR

(includes resident and nonresident forms, instructions and tax tables,

AR1000DGW

and capital gains and losses adjustment schedule)

AR1000S

Short Individual Income Tax Form and Instructions

AR1000PTR

Arkansas Property Tax Refund Forms and Instructions

AR1000A

Arkansas Amended Forms and Instructions

(includes resident and nonresident forms and instructions)

AR1100S

Sub-Chapter S Forms and Instructions

AR1002

Fiduciary Forms and Instructions

(includes resident and nonresident forms and instructions)

AR1050

Arkansas Partnership Return and Partnership Instructions

AR1055

Extension of Time Request

(Individual, Sub-Chapter S, Fiduciary, Partnership and Corporation)

AR1103

Election by Small Business Corporation

AR1000RC5

Retarded Child Certificate

AR1000AC

Adoption Expense Income Tax Credit

AR1000DC

Disabled Child Certificate

AR1000EC

Arkansas Early Childhood Certification

AR1000TD

Lump Sum Distribution Averaging

AR2210

Individual Estimated Tax Penalty

AR1000ES

Individual Estimated Tax Vouchers and Estimated Tax Instructions

AR8453

Declaration for Electronic Filing

AY321

Estate Tax Return and Instructions

AY321E

Estate Tax Extension

Forms may be obtained from any state revenue office. They may also be obtained through the mail by writing or calling:

Arkansas State Income Tax Forms

P. O. Box 3628

Little Rock, AR 72203-3628

(501) 682-1100

(501) 682-4795 (hearing impaired/deaf access only)

Assembling Your Arkansas Return

In order to assist the Income Tax Section in processing returns as quickly as possible, the forms should be assembled in the order shown below beginning with AR1000, AR1000NR or AR1000S. Federal attachment sequence numbers are shown in the upper right hand corner of the Federal Forms; Arkansas forms do not have sequence numbers.

AR1000

Arkansas Individual Returns (with W-2s and check attached on front)

AR1000NR

AR1000S

AR1000DGW

Arkansas Capital Gains and Losses Schedule and Worksheet

AR2210

Arkansas Underpayment of Estimated Tax

AR3

Itemized Deductions

AR4

Interest & Dividend Income

AR1000TD

Arkansas Lump Sum Distribution Averaging

Federal 5329

Additional Tax Due to Qualified Retirement Plans

Federal 2441 or 1040A

Child Care Credits

AR1000EC

Arkansas Early Childhood Certification

AR1000AC

Arkansas Adoption Expense Income Tax Credit

Arkansas Business Tax Credit Schedules

AR1000RC5

Arkansas Certificate for Retarded Child

AR1000DC

Arkansas Disabled Child Certificate

Other State Returns

Federal 1040, 1040EZ or 1040A

Other Federal Forms and Schedules in Federal Sequence Order**

All Other Attachments not included in above.

**Federal Attachment Sequence Number of Forms Generally Included with Arkansas Returns

(As shown on the Federal Form, upper right-hand corner)

FORM

NUMBER

SEQUENCE

Schedule A

Itemized Deductions

07

Schedule B

Interest and Dividend Income

08

Schedule C

Profit and Loss from Business

09

Schedule C-EZ

Net Profit from Business

09A

Schedule D

Capital Gains and Losses

12

Form 4952

Investment Interest Expense Deductions

12A

Schedule E

Supplemental Income and Loss

13

Schedule F

Profit or Loss from Farming

14

Form 2119

Sale of Your Home

20

Form 4684

Casualties and Thefts

26

Form 4797

Sale of Business Property

27

Form 6198

At Risk Limitations

31

Form 2555

Foreign Earned Income

34

Form 4835

Farm and Rental Income and Expense

37

Form 8606

Nondeductible IRAs

47

Form 2106

Employee Business Expense

54

Form 2106-EZ

Unreimbursed Employee Business Expense

54A

Form 8283

NonCash Charitable Contributions

55

Form 3903

Moving Expense

62

Form 8829

Expense for Business Use of Home

66

Form 4562

Depreciation and Amortization

67

Form 6252

Installment Sale Income

79

Form 8582

Passive Activity Loss Limitations

88

ADOPTED INTERNAL REVENUE CODES (1)

SUBJECT

IRC

DATE

ACA

Accident and Health Plans,

* amounts received

105

1-1-97

26-51-404(b)(15)

* contributions by employer

Accounting, (2)

106

1-1-97

26-51-404(b)(15)

* methods (2)

446-483 (2)

(2)

26-51-401

* periods (2)

441-444 (2)

(2)

26-51-402

Agricultural Labor

3121(g)

1-1-93

26-51-902(1)

Alimony and Separate Maintenance,

* deductions from gross income

215

1-1-87

26-51-417(b)

* income to recipient

71

1-1-87

26-51-417(a)

Amortization

197

1-1-95

26-51-428(c)

Amount of Credit

* qualified person

46(c)(8)(D)

1-1-89

26-51-404(b)(11)

At Risk

465

1-1-87

26-51-436(1)

Bad Debt, Losses and Gains with Respect to Securities Held by Financial Institutions

582

1-1-97

26-51-426

Business Expense (3)

162 (3)

1-1-97

26-51-423(a)(1)

Cafeteria Plan

125

1-1-97

26-51-404(b)(12)

Capital Gains (6)

* limitations on capital losses

1211

1-1-97

26-51-815

* capital loss carrybacks and carryovers

1212

1-1-97

26-51-815

* capital assets defined

1221

1-1-97

26-51-815

* other terms relating to capital gains and losses

1222

1-1-97

26-51-815

* holding period of property

1223

1-1-97

26-51-815

* property used in the trade or business and involuntary conversions

1231

1-1-97

26-51-815

* gains and losses from short sales

1233

1-1-97

26-51-815

* options to buy or sell

1234

1-1-97

26-51-815

* gains and losses from certain terminations

1234A

1-1-97

26-51-815

* sale or exchange of patents

1235

1-1-97

26-51-815

* dealers in securities

1236

1-1-97

26-51-815

* real property subdivided for sale

1237

1-1-97

26-51-815

* gain from sale of depreciable property between certain related taxpayers

1239

1-1-97

26-51-815

* cancellation of lease or distributor's agreement

1241

1-1-97

26-51-815

* losses on small business investment company stock

1242

1-1-97

26-51-815

* loss of small business investment company

1243

1-1-97

26-51-815

* losses on small business stock

1244

1-1-97

26-51-815

* gain from dispositions of certain depreciable property

1245

1-1-97

26-51-815

* gain on foreign investment company stock

1246

1-1-97

26-51-815

* election by foreign investment companies to distribute income currently

1247

1-1-97

26-51-815

* gain from certain sales or exchanges of stock in certain foreign corporations

1248

1-1-97

26-51-815

* gain from certain sales or exchanges of patents, etc., to foreign corporations

1249

1-1-97

26-51-815

* gain from dispositions of certain depreciable realty

1250

1-1-97

26-51-815

* gain from disposition of farm land

1252

1-1-97

26-51-815

* transfers of franchises, trademarks, and trade names

1253

1-1-97

26-51-815

* gain from disposition of interest in oil, gas, geothermal, or other mineral properties

1254

1-1-97

26-51-815

* gain from disposition of section 126 property

1255

1-1-97

26-51-815

* section 1256 contracts marked to market

1256

1-1-97

26-51-815

* disposition of converted wetlands on highly erodible croplands

1257

1-1-97

26-51-815

Capitalization Rules

263(a-h)

1-1-89

26-51-439

Child Care Credit

21

1-1-97

26-51-502(b)(1)

Charitable Contributions

170

1-1-97

26-51-419

Combat Pay

112

1-1-97

26-51-306(a)(4)

Corporate Liquidations,

* basis of property

334

1-1-97

26-51-413

* complete liquidation of subsidiaries

332

1-1-97

26-51-413

* gain or loss to liquidating corporation

336

1-1-97

26-51-413

* nonrecognition for property distributed

337

1-1-97

26-51-413

* purchase of stock as purchase of assets

338

1-1-97

26-51-413

Cost-Sharing Payments

126

1-1-97

26-51-404(b)(18)

Credit for Adoption Expenses

23

1-1-97

26-51-445

Deferred Compensation Plans,

* annuities

72

1-1-97

26-51-414

* collectively bargained plans

413

1-1-97

26-51-414

* deduction for employer's contributions

404

1-1-97

26-51-414

* definitions and special rules

414

1-1-97

26-51-414

* employee plans-domestic subsidiaries in foreign operations

407

1-1-97

26-51-414

* employee plans-foreign affiliates

406

1-1-97

26-51-414

* employee plans-taxation of annuities

403

1-1-97

26-51-414

* foreign deferred compensation plans

404A

1-1-97

26-51-414

* individual retirement accounts(IRA)

408

1-1-97

26-51-414

* limitations on benefits and contributions under qualified plan

415

1-1-97

26-51-414

minimum funding standards

412

1-1-97

26-51-414

* minimum participation standards

410

1-1-97

26-51-414

* minimum vesting standards

411

1-1-97

26-51-414

* qualification for tax credits employee stock ownership plans(PAYSOPS)

409

1-1-97

26-51-414

* qualified pension, profit sharing and stock bonus plans

401

1-1-97

26-51-414

* retirement savings

219

1-1-97

26-51-414

* special rules for top-heavy plans

416

1-1-97

26-51-414

* state/local govt. & tax exempt org.

457

1-1-97

26-51-414

* taxability of beneficiary of employee's trust

402

1-1-97

26-51-414

Definitions and Special Rules,

* head of household

2(b)

1-1-91

26-51-301(c)(1)

* surviving spouse

2(a)

1-1-91

26-51-801(d)(1)

Depletion,

* allowance of deduction for depletion

611

1-1-91

26-51-429

* basis for cost depletion

612

1-1-91

26-51-429

* deduction and recapture of certain mining exploration expenditures

617

1-1-91

26-51-429

* definition of property

614

1-1-91

26-51-429

* development expenditures

616

1-1-91

26-51-429

* percentage depletion

613

1-1-91

26-51-429

Dependent Defined

152

1-1-91

26-51-801(d)(4)

Dependent Care Depreciation

129

1-1-97

26-51-404(b)(13)

* accelerated cost recovery system

168

1-1-97

26-51-428(a)

* depreciation

167

1-1-97

26-51-428(a)

* election to expense certain business assets

179, 179A

1-1-97

26-51-428(a)

Depreciation Limitation,

* investment tax credit and depreciation for luxury automobiles

280F(a-d)

1-1-91

26-51-436(3)

Discharge of Indebtedness

108

1-1-95

26-51-404(b)(11)

Discharge of Indebtedness

1017

1-1-95

26-51-404(b)(11)

Entertainment Expenses

274

1-1-97

26-51-423(b)

Estate Tax,

26-51-201

* deferral of payments

6166

1-1-89

26-51-203

Farming 464(e)(1) Foreign Income,

464(e)(1)

1-1-89

26-51-427(1)

* citizens or residents of the United States living abroad

911

1-1-89

26-51-310

* exemption for certain allowances

912

1-1-89

26-51-310

Foster Care Payments

131

1-1-95

26-51-404(b)(19)

Fringe Benefits

132

1-1-97

26-51-404(b)(20)

FASITS (5)

851-860 (5)

1-1-97

26-51-440

Gross Income

Group-Term Life Insurance,

61

AR SIMILAR*

26-51-404

* purchased for employees

79

1-1-89

26-51-404(b)(14)

Individual Retirement Account (4)

219 (4)

1-1-97

26-51-414

Income Tax Forgiveness for Armed Forces and Government Personnel Injured Overseas Injuries or Sickness,

692

1-1-97

26-51-306(a)(4)

* compensation for

104

1-1-97

26-51-404(b)(15)

Installment Method

453(a-b)

1-1-95

26-51-411(e)

Interest

163

1-1-97

26-51-415

* on certain deferred payments

483

1-1-93

26-51-443(a)

* on loans with below-market interest rates

7872

1-1-97

26-51-443(b)

Itemized Deduction

* limitations

68

1-1-95

26-51-436(4)

Involuntary Conversion

1033

1-1-97

26-51-404(b)(1)

Life Insurance Proceeds

* exclusion from income

101

1-1-97

26-51-404(b)(3)

Long Term Care Insurance Premiums

7702

1-1-97

26-51-423

Meals & Lodging

119

1-1-97

26-51-404(b)(17)

Medical and Dental

213

1-1-97

26-51-423(a)(2)

Medical Savings Accounts

220

1-1-97

26-51-436

Moving Expenses

217

1-1-95

26-51-423(a)(4)

* reimbursements

82

1-1-95

26-51-404(b)(16)

Offers in Compromise

7122

AR SIMILAR*

26-18-705

Passive Activity

469

1-1-97

26-51-436(2)

* at risk limitations

465

1-1-87

26-51-436(1)

Railroad Retirement Benefits (tier 2)

72

1-1-97

26-51-414

Regulated Investment Companies (5)

851-860 (5)

1-1-97

26-51-440

* Subchapter M

851-860 (5)

1-1-97

26-51-440

Reserves for Losses on Loans of Bank

585

1-1-97

26-51-426

Reserves for Losses on Loans

593

1-1-97

26-51-426

Retirement

* Individual Retirement Account (4)

219 (4)

1-1-97

26-51-414

* SIMPLE Retirement Account

408

1-1-97

26-51-414

Sale of Home

121

AR SIMILAR*

26-51-305

Sale of Home

121

AR SIMILAR*

26-51-404(b)(2)

Sale of Property to Comply with Conflict-of-Interest Requirements

1043

1-1-93

26-51-442

Self-Employed Health Insurance Cost

162

1-1-97

26-51-423(c)(1)

Severance Pay

61

AR SIMILAR*

26-51-404

SIMPLE Retirement Account

408

1-1-97

26-51-414

Small Business Stock

1202

1-1-95

26-51-815 (c)

Soil &Water Conservation

175

1-1-95

26-51-404(b)

Subchapter M (5)

851-860 (5)

1-1-97

26-51-440

* regulated investment companies

851-860 (5)

1-1-97

26-51-440

* FASITS

851-860 (5)

1-1-97

26-51-440

Subchapter S corporation,

* adjustments to basis of stock

1367

1-1-97

26-51-409

* coordination with subchapter C

1371

1-1-97

26-51-409

* defined

1361

1-1-97

26-51-409

* definitions and special rules

1377

1-1-97

26-51-409

distributions

1368

1-1-97

26-51-409

* coordination with subchapter C

1371

1-1-97

26-51-409

* defined

1361

1-1-97

26-51-409

* definitions and special rules

1377

1-1-97

26-51-409

* distributions

1368

1-1-97

26-51-409

* effect of election on corporation

1363

1-1-97

26-51-409

* election; revocation; termination

1362

1-1-97

26-51-409

* foreign income

1373

1-1-97

26-51-409

* partnership rules

1372

1-1-97

26-51-409

* pass-thru of items to shareholders

1366

1-1-97

26-51-409

* taxable year of S corporation

1378

1-1-97

26-51-409

* tax imposed on certain built-in gains

1374

1-1-97

26-51-409

* tax imposed when passive investment income

1375

1-1-97

26-51-409

* transitional rules of enactment

1379

1-1-97

26-51-409

Tax Deferred Tuition Savings Plan

529

1-1-97

6-84-102

Tax-Exempt Income, Relating to Expenses and Interest

265(a)

1-1-97

26-51-431(b)

Trade or Business Expenses (5)

162(5)

1-1-97(5)

26-51-423(a)(1)

Notes:

(1) In those instances where Arkansas has adopted a section of the Internal Revenue Code (IRC) as its own law, the regulations promulgated by the Treasury Department to aid in interpreting the IRC section should be used for guidance in applying the law. For example, at ACA 26-51-306(a)(4) Arkansas adopted IRC Sec. 112 as in effect on January 1, 1991 regarding tax treatment of combat pay. The tax practitioner would refer to the corresponding regulation (IRC Reg. 1.112-1) when working on a combat pay issue under ACA 26-51- 306(a)(4).

(2) Internal Revenue Code sections 441 - 444, dealing with accounting periods, and sections 446 - 483, dealing with accounting methods, have not been officially adopted by the State of Arkansas. The corresponding Arkansas codes do require the taxpayer to file his/her Arkansas return using the same accounting period and the same accounting method as used for Federal purposes.

(3) Subsection "n" of IRC Sec. 162 has not been adopted by Arkansas.

(4) Requirements for filing a joint return under 219(c)(a)(A) of the Internal Revenue code of 1986 shall not apply.

(5) Provisions of Subchapter M of the Internal Revenue code addressing tax rates are not adopted.

(6) The capital gain provisions of ACA 26-51-815 do not apply to C corporations.

* Arkansas has not adopted the cited Internal Revenue Code (IRC) section as its own law. However, the language of Arkansas' statute is similar to that of the federal statute.

IRC

SUBJECT

DATE

ACA

2(a)

Surviving Spouse

1-1-91

26-51-801(d)(1)

2(b)

Head of Household

1-1-91

26-51-301(c)(1)

21

Child Care Credit

1-1-97

26-51-502(b)(1)

23

Credit for Adoption Expenses

1-1-97

26-51-445

46(c)(8)(D)

Qualified Person

1-1-89

26-51-404(b)(11)

61

Gross Income

AR SIMILAR*

26-51-404

61

Severance Pay

AR SIMILAR*

26-51-404

68

Itemized Deduction Limit

1-1-95

26-51-436(4)

71

Alimony Income

1-1-87

26-51-417(a)

72

Railroad Retirement

1-1-97

26-51-414(a)

79

Group Term Insurance

1-1-89

26-51-404(b)(14)

82

Moving Exp. Reimb.

1-1-95

26-51-404

101

Exclusions of Proceeds Paid Upon Illness or Death of Insured

1-1-97

26-51-404(b)(3)

104

Injury or Sickness

1-1-97

26-51-404(b)(15)

105

Accident/Health

1-1-97

26-51-404(b)(15)

106

Accident/Health

1-1-95

26-51-404(b)(15)

108

Discharge Indebt.

1-1-97

26-51-404

112

Combat Pay

1-1-97

26-51-306(a)(4)

119

Meals &Lodging

1-1-97

26-51-404

121

Sale of Home

AR SIMILAR*

26-51-305

121

Sale of Home

AR SIMILAR*

26-51-404(b)(2)

125

Cafeteria Plan

1-1-97

26-51-404(b)(12)

126

Cost-Sharing Payments

1-1-95

26-51-404(b)(18)

129

Dependent Care

1-1-97

26-51-404(b)(13)

131

Foster Care Payments

1-1-95

26-51-404

132

Fringe Benefits

1-1-95

26-51-404

152

Dependent Defined

1-1-91

26-51-801(d)(4)

162

S/E Health Insurance

1-1-97

26-51-403(b)(14)

162

S/E Health Insurance

1-1-97

26-51-423(c)(1)

162 (3)

Business Expenses (3)

1-1-97

26-51-423(a)(1)

163

Interest

1-1-97

26-51-415

167

Depreciation

1-1-97

26-51-428(a)

168

Depreciation-ACRS

1-1-97

26-51-428(a)

170

Charitable Contributions

1-1-97

26-51-419

175

Soil & Water Conserv.

1-1-95

26-51-404(b)

179

Election to Expense Certain Business Assets

1-1-97

26-51-428(a)

194

Reforestation Amort.

NO AR CODE

197

Amortization

1-1-95

26-51-428

213

Medical

1-1-97

26-51-423(a)(2)

215

Alimony Deduction

1-1-87

26-51-417(b)

217

Moving Expenses

1-1-95

26-51-423(a)(4)

219 (4)

Individual Retirement Account (4)

1-1-97

26-51-414

220

Medical Savings Accounts

1-1-97

26-51-436

221

Interest on Education Loans

1-1-97

26-51-423(d)

263A(a)-(h)

Cap. Rules

1-1-89

26-51-439

265(a)

Tax Exempt Interest

1-1-93

26-51-431(b)

274

Entertainment Expenses

1-1-97

26-51-423(b)

280F(a)-(d)

Dep. Lux. Autos

1-1-91

26-51-436(3)

332

Corp. Liquidations

1-1-97

26-51-413

334

Corp. Basis of Prop.

1-1-97

26-51-413

336

Corp. Gain & Loss

1-1-97

26-51-413

337

Corp. Nonrecognition

1-1-97

26-51-413

338

Corp. Purchase Stock

1-1-97

26-51-413

401

Qualified Pension

1-1-97

26-51-414

402

Emp. Beneficiary

1-1-97

26-51-414

403

Annuities

1-1-97

26-51-414

404

Employer's Contr.

1-1-97

26-51-414

404A

Foreign Deferred Comp.

1-1-97

26-51-414

406

Foreign Affiliates

1-1-97

26-51-414

407

Domestic Deferred Comp.

1-1-97

26-51-414

408

IRA'S, SIMPLE Retirement Acct

1-1-97

26-51-414

409

Tax Credit Employees

1-1-97

26-51-414

410

Participation Stds.

1-1-97

26-51-414

411

Minimum Vesting Stds.

1-1-97

26-51-414

412

Minimum Funding Stds.

1-1-97

26-51-414

413

Collect. Bargain Pls.

1-1-97

26-51-414

414

Definitions and Rules

1-1-97

26-51-414

415

Benefits & Contrib.

1-1-97

26-51-414

416

Top-Heavy Plans

1-1-97

26-51-414

441-444 (2)

Accounting Periods (2)

(2)

26-51-402

446-483 (2)

Accounting Methods (2)

(2)

26-51-401

453

Install Method

1-1-95

26-51-411

453A

"

"

"

453B

"

"

"

457

Def. Comp. Tax Exempt

1-1-97

26-51-414

464(e)(1)

Farming

1-1-89

26-51-427(1)

465

At Risk

1-1-87

26-51-436(1)

469

Passive Activities

1-1-97

26-51-436(2)

483

Interest on Def. Pay.

1-1-97

26-51-441(a)

529

Tax Deferred Tuition Savings Plan

1-1-97

582

Bad Debts

1-1-97

26-51-426

585

Reserve for Losses

1-1-97

26-51-426

593

Reserve for Losses

1-1-97

26-51-426

611

Depletion

1-1-91

26-51-429

612

Cost Depletion

1-1-91

26-51-429

613

Percent Depletion

1-1-91

26-51-429

614

Definition/Property

1-1-91

26-51-429

616

Development Expense

1-1-91

26-51-429

617

Mining Expenses

1-1-91

26-51-429

664

Charitable Remainder Trusts

1-1-93

26-51-309

692

Tax Forgiveness for Armed Forces & Govt. Employees Injured Overseas

1-1-97

26-51-306(a)(4)

851-860 (5)

Sub. M/Reg.Invest.Co./FASIT (5)

1-1-95

26-51-440

911

Foreign Income Exclusion

1-1-89

26-51-310

912

Foreign Income Exclusion

1-1-89

26-51-310

1017

Discharge Indebt.

1-1-95

26-51-404

1033

Involuntary Conver.

1-1-97

26-51-404(b)(1)

1043

Sale of Prop/Conflict

1-1-93

26-51-442

1202

Small Bus. Stock

1-1-95

26-51-815

1211

Cap. Gains Limits

1-1-97

26-51-815

1212

Carryovers/Carrybacks

1-1-97

26-51-815

1221

Cap. Assets/Defined

1-1-97

26-51-815

1222

Other Terms/Cap. Gains

1-1-97

26-51-815

1223

Holding Period

1-1-97

26-51-815

1231

Involuntary Conversion

1-1-97

26-51-815

1233

Short Sales

1-1-97

26-51-815

1234

Options

1-1-97

26-51-815

1234A

Certain Terminations

1-1-97

26-51-815

1235

Sale of Patents

1-1-97

26-51-815

1236

Dealers in Securities

1-1-97

26-51-815

1237

Subdivided Property

1-1-97

26-51-815

1239

Sale of Deprec. Prop.

1-1-97

26-51-815

1241

Lease/Distr. Agree.

1-1-97

26-51-815

1242

Small Business Stock

1-1-97

26-51-815

1243

Small Business Co.

1-1-97

26-51-815

1244

Small Business Stock

1-1-97

26-51-815

1245

Gain from Disposition

1-1-97

26-51-815

1246

Foreign Inv. Stock

1-1-97

26-51-815

1247

Election to Distribute

1-1-97

26-51-815

1248

Gains from Exchanges

1-1-97

26-51-815

1249

Gains from Exchanges

1-1-97

26-51-815

1250

Gain from Disp.

1-1-97

26-51-815

1252

Gain from Disp/Farm

1-1-97

26-51-815

1253

Trf of Franchises, Etc.

1-1-97

26-51-815

1254

Gain/Mineral Prop.

1-1-97

26-51-815

1255

Gain/Section 126 Prop.

1-1-97

26-51-815

1256

Section 1256 Contract

1-1-97

26-51-815

1257

Wetlands

1-1-97

26-51-815

1361

Sub S. Corporation

1-1-97

26-51-409

1362

Election

1-1-97

26-51-409

1363

Corp. Election

1-1-97

26-51-409

1366

Pass-thru

1-1-97

26-51-409

1367

Basis of Stock

1-1-97

26-51-409

1368

Distributions

1-1-97

26-51-409

1371

Coordination W/C

1-1-97

26-51-409

1372

Partnership Rules

1-1-97

26-51-409

1373

Foreign Income

1-1-97

26-51-409

1374

Built-In Gains

1-1-97

26-51-409

1375

Passive Investment

1-1-97

26-51-409

1377

Special Rules

1-1-97

26-51-409

1378

Taxable Year

1-1-97

26-51-409

1379

Rules of Enactment

1-1-97

26-51-409

3121(g)

Agricultural Labor

1-1-89

26-51-902(1)

6166

Estate Tax

AR SIMILAR*

26-51-201/03

7122

Compromise

AR SIMILAR*

26-18-705

7872

Loans/Below-Mkt. Int.

1-1-99

26-51-443(b)

7702

Long Term Care Ins. Premiums

1-1-97

26-51-423

Notes:

(1) In those instances where Arkansas has adopted a section of the Internal Revenue Code (IRC) as its own law, the regulations promulgated by the Treasury Department to aid in interpreting the IRC section should be used for guidance in applying the law. For example, at ACA 26-51-306(a)(4) Arkansas adopted IRC Sec. 112 as in effect on January 1, 1997 regarding tax treatment of combat pay. The tax practitioner would refer to the corresponding regulation (IRC Reg. 1.112-1) when working on a combat pay issue under ACA 26-51-306(a)(4).

(2) Internal Revenue Code sections 441 - 444, dealing with accounting periods, and sections 446 - 483, dealing with accounting methods, have not been officially adopted by the State of Arkansas. The corresponding Arkansas codes do require the taxpayer to file his/her Arkansas return using the same accounting period and the same accounting method as used for Federal purposes.

(3) Subsection "n" of IRC Sec. 162 has not been adopted by Arkansas.

(4) Requirements for filing a joint return under 219(c)(1)(A) of the Internal Revenue Code of 1986 shall not apply.

(5) Provisions of Subchapter M of the Internal Revenue Code addressing tax rates are not adopted.

* Arkansas has not adopted the cited Internal Revenue Code (IRC) section as its own law. However, the language of Arkansas' statute is similar to that of the federal statute.

Notes

State regulations are updated quarterly; we currently have two versions available. Below is a comparison between our most recent version and the prior quarterly release. More comparison features will be added as we have more versions to compare.

No prior version found.