The Alabama CPT form is a tax return specifically designed for C-Corporations operating in Alabama. This form, known as the Alabama Business Privilege Tax Return and Annual Report, is essential for corporations to report their business activities and calculate their tax obligations. It includes sections for taxpayer information, tax computation, and necessary declarations, ensuring compliance with state tax regulations.
The Alabama CPT form, officially known as the Alabama Business Privilege Tax Return and Annual Report, serves a crucial role for C-Corporations operating within the state. This form is designed specifically for C-Corporations, which means that entities like insurance companies, real estate investment trusts, and financial institutions have their own unique requirements. When filling out the CPT form, taxpayers must provide essential information, including their legal name, federal employer identification number (FEIN), and mailing address. The form also requires details about the determination period, which includes the beginning and ending dates for the reporting year. One of the key components of the CPT is the computation of the business privilege tax, which involves calculating the net worth of the corporation and determining any amounts due or refunds applicable. Taxpayers must also be mindful of additional fees, such as the $10 Secretary of State corporate annual report fee, and ensure that they meet deadlines for filing, especially for initial returns. Understanding the intricacies of this form is vital for compliance and can significantly impact the financial standing of a corporation in Alabama.
FORM
*220001CP*
CPT 2022
Alabama Department of Revenue
Alabama Business Privilege Tax Return
and Annual Report
1a
6 Calendar Year (Taxable Year 2022 – determination period beginning
and ending 12/31/2021)
1b
6 Fiscal Year (Taxable Year 2022 – determination period beginning
and ending
/2022)
1c
6 Amended Return (Attach Supporting Documentation)
6 52/53 Week Filer
Type of taxpayer (check only one):
2a
6 C Corporation
2b
6 Insurance Company (See definitions)
2c
6 LLE Taxed as Corporation
2d
6 Financial Institution Group Member
2e
6 Real Estate Investment Trust (REIT)
2f
6 Business Trust
Number of AL-CARs attached (Financial Institutions only)
TAXPAYER INFORMATION
3a
LEGAL NAME OF
6
FEIN NOT REQUIRED
BUSINESS ENTITY
3b FEIN
(SEE INSTRUCTIONS)
3c
MAILING
3d
BPT ACCOUNT NO.
ADDRESS
3h
FEDERAL BUSINESS CODE NO.
3e
CITY
3f STATE
3g ZIP CODE
(NAICS) (SEE WWW.CENSUS.GOV)
3i
CONTACT PERSON
3j
CONTACT PERSON’S
CONCERNING THIS FORM
PHONE NO.
3k
TAXPAYER’S
E-MAIL ADDRESS
RETURN INFORMATION
4a
6 Corporation President Information Change on attached Schedule AL-CAR (Corporation Annual Report)
4b
6 Corporation Secretary Information Change on attached Schedule AL-CAR (Corporation Annual Report)
5a Date of Incorporation or Organization
5b State of Incorporation or Organization
5c County of Incorporation or Organization
COMPUTATION OF AMOUNT DUE OR REFUND DUE
Amount Due
6 Secretary of State corporate annual report fee $10
7 Less: Annual report fee previously paid for the taxable year
7
8 Net annual report fee due (line 6 less line 7)
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8
9
Privilege tax due (Page 2, Part B, line 20)
10
Less: Privilege tax previously paid for the taxable year
11
Net privilege tax due (line 9 less line 10)
12
Penalty due (see instructions)
13
Interest due (see instructions)
14
Total privilege tax due (add lines 11, 12 and 13)
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14
15
Net tax due (add lines 8 and 14)
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
16Payment due with return if line 15 is positive. (Form BPT-V must be submitted if payment is made by check.)
Full payment of any amount due for a taxable year is due by the original due date of the return (without
consideration of any filing extensions in place)
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16
17
Amount to be refunded if line 15 is negative
18
Check here if paid electronically 6
Please
Sign
Here
6I authorize a representative of the Department of Revenue to discuss my return and attachments with my preparer.
Under penalties of perjury, I declare that I have examined this return and accompanying schedules and statements, and to the best of my knowledge
and belief they are true, correct, and complete. Declaration of preparer (other than taxpayer) is based on all information of which preparer has any knowledge.
Title
Date
Officerʼs
Signature
Paid
Preparer’s
Use Only
Preparerʼs signature
Firmʼs name (or yours, if self-employed) and address
Phone No.
Preparerʼs SSN/PTIN
E.I. No.
ZIP Code
If you are not making a payment, mail your return to:
If you are making a payment, mail your return, Form BPT-V, and payment to:
Business Privilege Tax Section
P.O. Box 327431
P.O. Box 327320
Montgomery, AL 36132-7431
Montgomery, AL 36132-7320
Telephone Number: (334) 242-1170
Web site: www.revenue.alabama.gov
ADOR
BUSINESS PRIVILEGE
*220002CP*
CPT
TAXABLE/FORM YEAR
Alabama Business Privilege Tax C-Corporation
PAGE 2
2022
Privilege Tax Computation Schedule
1a. FEIN
1b. LEGAL NAME OF BUSINESS ENTITY
1c. DETERMINATION PERIOD END DATE (BALANCE SHEET DATE)
V
(MM/DD/YYYY)
PART A – NET WORTH COMPUTATION
Corporations & Entities Taxed as Corporations
1Issued capital stock and additional paid in capital (without reduction for treasury stock)
but not less than zero
1
2
Retained earnings, but not less than zero, including dividends payable. For LLC’s taxed
as corporations and non-stock issuing entities such as business trusts, enter assets
minus liabilities
3
Gross amount of related party debt exceeding the sums of line 1 and 2
4
All payments for compensation or similar amounts in excess of $500,000
5
Total net worth (add lines 1-4)
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5
PART B – PRIVILEGE TAX EXCLUSIONS AND DEDUCTIONS
Exclusions (Attach supporting documentation) (SEE INSTRUCTIONS)
Total net worth from line 5 above
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
Book value of the investments by the taxpayer in the equity of other taxpayers
3Financial institutions, only – Book value of the investments in other corporations or LLE’s
if the taxpayer owns more than 50 percent of the corporation or LLE
Unamortized portion of goodwill and core deposit intangibles resulting from a direct
purchase
Unamortized balance of properly elected post-retirement benefits pursuant to FASB 106. .
6Financial institutions, only – The amount adjusted net worth
exceeds six percent of total assets (see instructions)
Total exclusions (sum of lines 2-6)
. . . . . . . . . . . . . . . . . . .
. . . . . . . . . .
. . 7
8
Net worth subject to apportionment (line 1 less line 7)
. . 8
Apportionment factor (see instructions)
.
%
Total Alabama net worth (multiply line 8 by line 9)
. . 10
Deductions (Attach supporting documentation) (SEE INSTRUCTIONS)
11Net investment in bonds and securities issued by the State of Alabama or
political subdivision thereof, when issued prior to January 1, 2000. . . . . . . . . . . . . . . . . . . 11
12 Net investment in all air, ground, or water pollution control devices in Alabama. . . . . . . . . . 12
13Reserves for reclamation, storage, disposal, decontamination, or retirement associated
with a plant, facility, mine or site in Alabama . .
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Book value of amount invested in qualifying low income housing projects (see instructions)
Total deductions (add lines 11-14)
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . 15
16
Taxable Alabama net worth (line 10 less line 15)
. . . . . . . . . . 16
17a
Federal Taxable Income Apportioned to AL . .
17b
Tax rate (see instructions)
Gross privilege tax calculated (multiply line 16 by line 17b)
. . . . . . . . . . 18
19
Alabama enterprise zone credit (see instructions)
20Privilege Tax Due (line 18 less line 19) (minimum $100, for maximum see instructions)
Enter also on Form CPT, page 1, line 9, Privilege Tax Due . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20
Full payment of any amount due for a taxable year is due by the original
due date of the return (without consideration of any filing extensions in place).
C-Corporations must complete and attach
an Alabama Schedule AL-CAR, and enter $10 for the corporate annual report fee on line 6, page 1.
Alabama Form A-3 - Having detailed records will assist in accurate reporting and help resolve any disputes.
Alabama Composite Return - The C 20 form allows for the seizure of personal and real property.
The New York Boat Bill of Sale form is a legal document used to transfer ownership of a boat from one party to another. This form is essential for ensuring that the transaction is documented properly, providing both the seller and buyer with a record of the sale. For those looking to create a Bill of Sale, you can find helpful resources at PDF Templates Online. Completing this form accurately can aid in avoiding future disputes regarding ownership and liability.
Alabama Department of Revenue Tax Forms - Form 40V allows you to specify the exact amount due for your tax liability.
The Alabama Business Privilege Tax Return (CPT) form shares similarities with the IRS Form 1120, which is the U.S. Corporation Income Tax Return. Both documents require corporations to report their income, expenses, and tax liability to the government. While the CPT focuses specifically on the privilege tax owed to the state of Alabama, Form 1120 is used to report federal income tax. Both forms necessitate the disclosure of the corporation's legal name, Federal Employer Identification Number (FEIN), and financial information, ensuring that all relevant data is presented for tax assessment purposes.
Another document that resembles the Alabama CPT form is the state’s Corporate Annual Report. This report is mandatory for corporations operating in Alabama and provides essential information about the company’s structure, management, and financial status. Like the CPT form, the Corporate Annual Report requires details such as the corporation's legal name, address, and the names of its officers. While the CPT focuses on tax obligations, the Corporate Annual Report is more about maintaining good standing with the state and ensuring transparency about the corporation's operations.
The IRS Form 1065, used by partnerships, also shares characteristics with the Alabama CPT form. Both forms require the reporting of income and expenses, but they cater to different types of business entities. While the CPT is specific to C-Corporations, Form 1065 is designed for partnerships and multi-member LLCs. Despite these differences, both forms aim to provide a clear picture of the entity's financial performance to the respective tax authorities, ensuring compliance with tax laws.
The Alabama Corporate Income Tax Return (Form 20C) is another document similar to the CPT form. Both forms are utilized by corporations to report their financial activities and tax liabilities, but the Form 20C is specifically for corporate income tax at the state level. Like the CPT, it requires detailed financial information, including income, deductions, and credits. Both forms are crucial for ensuring that corporations fulfill their tax obligations to the state of Alabama.
The state’s Franchise Tax Return is also comparable to the Alabama CPT form. Franchise tax is assessed on businesses for the privilege of operating in the state, similar to the business privilege tax. Both forms require businesses to disclose information about their financial status and tax liabilities. The Franchise Tax Return may apply to various business structures, while the CPT is exclusive to C-Corporations. Nevertheless, both documents serve the purpose of tax assessment and compliance.
Additionally, the Alabama Schedule AL-CAR (Corporation Annual Report) is relevant when discussing similar documents. This schedule is often attached to the CPT form and requires corporations to provide information about their business activities, including financial data and ownership structure. While the CPT focuses on tax calculations, the AL-CAR emphasizes the company's operational aspects, ensuring that all necessary details are submitted to maintain compliance with state regulations.
Lastly, the IRS Form 941, which is used for reporting payroll taxes, also has similarities with the Alabama CPT form. Both forms require accurate reporting of financial data to the government. While Form 941 focuses on employee wages and taxes withheld, it shares the same fundamental goal of ensuring compliance with tax obligations. Both forms highlight the importance of accurate record-keeping and timely submission to avoid penalties and maintain good standing with tax authorities.
Filling out the Alabama CPT form can seem daunting, but understanding a few key points can simplify the process. Here are some important takeaways:
By keeping these points in mind, you can navigate the Alabama CPT form with greater ease and confidence.
The Alabama CPT form is the Business Privilege Tax Return and Annual Report specifically designed for C-Corporations. It is a requirement for corporations operating in Alabama to report their business activities and pay any applicable taxes.
This form must be filed by C-Corporations, including those taxed as corporations such as Limited Liability Entities (LLEs), insurance companies, and financial institutions. It is essential for any corporation that is registered to conduct business in Alabama.
The CPT form is typically due within 2.5 months after the end of your corporation's tax year. For initial returns, they must be filed within 2.5 months of incorporation or qualification. Make sure to check the specific deadlines applicable to your business.
The form requires various details, including:
There is a $10 Secretary of State corporate annual report fee that must be included when filing the CPT form. Additionally, the privilege tax is calculated based on the corporation's net worth and may vary depending on the specific details provided in the form.
If you discover an error after filing, you can amend your return by checking the appropriate box on the form. Make sure to provide the corrected information and any necessary documentation to support the changes.
Payments can be made by check, payable to the Alabama Department of Revenue. If paying electronically, you should check the Electronic Funds Transfer (EFT) box on the form. Ensure that your payment is submitted along with the completed form by the due date.
Failing to file the CPT form can result in penalties and interest on any taxes owed. It is crucial to file on time to avoid these additional charges and ensure compliance with Alabama tax laws.
If you have questions or need assistance, you can contact the Alabama Department of Revenue at (334) 353-7923. They can provide guidance on completing the form and any specific requirements for your corporation.