FAQs - Pass Through Entity

Can an Individual Investor file a 2013 IT 1040 when the investor has been included in a 2013 IT 4708 Composite Pass-Through Entity Return?

Yes.  As a result of the 130th General Assembly Amended Substitute House Bill 59, individual investors who have been included in a 2013 IT 4708 Composite Pass-Through Entity Return are allowed to file the IT 1040 in order to claim the small business investor income deduction not available on the 4708.

 

However, for tax years 2012 and prior, if a non-resident individual investor included in a composite return has no Ohio-sourced income or loss other than that earned through the pass-through entity that filed an IT 4708 on their behalf, the individual cannot file an IT 1040 return and is not entitled to the refundable pass-through entity credit pursuant to R.C. 5747.08(J). 

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