Tax Rules: Final: 5703-5
5703-5-03 - Dates on which a
taxpayer's taxable year begins and ends
(A) This rule first applies for tax year 1990. It prescribes
the dates on which a taxpayer's taxable year begins and ends
and is subject to any modifications required by rule
5703-5-04 of the Administrative Code concerning changes of a
taxpayer's annual accounting period. Rule 5703-5-01 of the
Administrative Code defines terms used in this rule.
(B) A taxpayer's taxable year shall begin as follows:
(1) Unless the taxpayer is a new taxpayer, the taxable year
shall begin on the date immediately following the end of the
taxpayer's prior taxable year.
(2) If the taxpayer is a new taxpayer, the taxable year shall
begin on the date that the taxpayer becomes a new taxpayer.
(C) A taxpayer's taxable year shall end as follows:
(1) Unless paragraph (C)(2) of this rule applies, the taxable
year shall end on the date immediately preceding the
beginning of the taxpayer's annual accounting period that
includes the first day of January of the tax year.
(2) If the taxpayer becomes a new taxpayer at or after the
beginning of the taxpayer's annual accounting period that
includes the first day of January of the tax year, the
taxable year shall end on the thirty-first day of December
immediately preceding the tax year.
(D) For purposes of this rule, if a taxpayer has an annual
accounting period that varies between fifty-two and
fifty-three weeks in length, the accounting period shall be
deemed to close on the last day of the calendar month nearest
to the last day of the accounting period.
(E) The following examples illustrate the application of this
rule:
(1) CORP-C is chartered as a domestic corporation on June 15,
1989 and adopts a November thirtieth fiscal year end. For tax
year 1990, CORP-C's taxable year begins on June 15, 1989 and
ends on November 30, 1989. For tax year 1991, CORP-C's
taxable year begins on December 1, 1989 and ends on November
30, 1990. For tax year 1992, CORP-C's taxable year begins on
December 1, 1990 and ends on November 30, 1991.
(2) CORP-D is chartered as a domestic corporation on June 15,
1989 and adopts a March thirty-first fiscal year end. For tax
year 1990, CORP-D's taxable year begins on June 15, 1989 and
ends on December 31, 1989. For tax year 1991, CORP-D's
taxable year begins on January 1, 1990 and ends on March 31,
1990. For tax year 1992, CORP-D's taxable year begins on
April 1, 1990 and ends on March 31, 1991.
(3) CORP-E, a foreign corporation having no previous taxable
nexus with Ohio, obtains a certificate to do business in this
state on August 2, 1989. CORP-E has an October thirty-first
fiscal year end. For tax year 1990, CORP-E's taxable year
begins on August 2, 1989 and ends on October 31, 1989. For
tax year 1991, CORP-E's taxable year begins on November 1,
1989 and ends on October 31, 1990. For tax year 1992,
CORP-E's taxable year begins on November 1, 1990 and ends on
October 31, 1991.
(4) CORP-F, a foreign corporation having no previous taxable
nexus with Ohio, obtains a certificate to do business in this
state on August 2, 1989. CORP-F has an April thirtieth fiscal
year end. For tax year 1990, CORP-F's taxable year begins on
August 2, 1989 and ends on December 31, 1989. For tax year
1991, CORP-F's taxable year begins on January 1, 1990 and
ends on April 30, 1990. For tax year 1992, CORP-F's taxable
year begins on May 1, 1990 and ends on April 30, 1991.
(5) CORP-G has an annual accounting period that varies
between fifty-two and fifty-three weeks in length. One of
CORP-G's annual accounting periods ends on January 4, 1990.
For tax year 1990, CORP-G's taxable year ends on January 4,
1990, which is deemed equivalent to December 31, 1989.
Effective: 12-30-89
Promulgated under: 5703.14
Authorized by: 5703.05
Amplifies: 5733.031, 5733.04, 5733.05
Prior effective dates: 1-1-72, 2-25-72