Tax News

CCH (cch.taxgroup.com) reports:

  Utah corporate franchise and income and personal income tax laws have been amended with regard to the taxation of pass-through entities and taxpayers to whom income, gain, loss, deduction, or credit of a pass-through entity is passed through. S corporation provisions are modified and consolidated with other pass-through entity provisions, withholding and filing requirements are specified, and a tax credit is provided for amounts paid or withheld by a pass-through entity on behalf of a pass-through entity taxpayer.

  A pass-through entity taxpayer is subject to taxation on the pass-through entity taxpayer's share of income, gain, loss, deduction, or credit of the pass-through entity.

  "Pass-through entity taxpayer" is defined as a resident or nonresident individual, business entity, estate, or trust that is a partner in a general partnership, member of a limited liability company, partner in a limited liability partnership, partner in a limited partnership, shareholder of an S corporation, or member, partner, shareholder, or similar person in a similar business entity, to which the income, gain, loss, deduction, or credit of a pass-through entity is passed through. "Pass-through entity" is defined as a business entity that is a general partnership, limited liability company, limited liability partnership, or limited partnership classified as a partnership for federal income tax purposes; an S corporation; or a similar business entity.