65: Partnership/Limited Liability Company Return of Income (2025)
Alabama · Alabama DOR · Used for tax years 2025
Alabama Form 65 is the Partnership/Limited Liability Company Return of Income for 2025. It reports business income and deductions, adjustments to federal income for Alabama purposes, and income or loss allocated or apportioned to Alabama.
What you'll need
Attach a copy of Federal Form 1065. Form 65 states that the return is incomplete without it.
Depending on the items you report, the form also calls for:
- Federal Form 1125-A for cost of goods sold.
- Schedule F (Federal Form 1040) for net farm profit or loss.
- Federal Form 4797 for the gains or losses reported on page 1, line 6, or Schedule K, line 9.
- Form 7205 for the energy efficient commercial buildings deduction.
- Form 8825 for net rental real estate income or loss.
- Schedule PC for total credits on Schedule K.
- Supporting statements or schedules for items marked “attach statement” or “attach schedule,” including other income, taxes and licenses, other deductions, and certain reconciliation adjustments.
If you use separate accounting as a multistate company, attach the required prior written approval. Attach ownership schedules if you answer “Yes” to either ownership question in Schedule E, lines 4 and 5.
How to file
Attach Federal Form 1065 and the other attachments called for by the items you report. The signature area asks for the general partner’s signature, date, daytime telephone number, and Social Security number.
Mail the return to:
Alabama Department of Revenue
Income Tax Administration Division
P.O. Box 327441
Montgomery, AL 36132-7441
Common mistakes
- Leaving out Federal Form 1065. The return is incomplete without a copy attached.
- Including nonbusiness items on lines 1a through 22. The form cautions that these lines are only for trade or business income and expenses.
- Deducting oil and gas depletion on line 17. The form specifically says not to deduct it there.
- Completing Schedules B or C for an Alabama-only entity. Both schedules say not to complete them if the entity operates exclusively in Alabama.
- Using Schedule K to allocate separately stated income for a multistate entity. The form says not to do this and refers filers to the Schedule B instructions.
- Using separate accounting without attaching approval. The filing-status area requires prior written approval and says it must be attached.
Questions people ask
Do I need to attach my federal partnership return?
Yes. Form 65 states that the return is incomplete unless a copy of Federal Form 1065 is attached.
Do I complete Schedules B and C if my company operates only in Alabama?
No. Both schedules say not to complete them if the entity operates exclusively in Alabama.
Where do I list wholly owned disregarded entities?
Use Schedule D. It asks for disregarded entities in which the taxpayer holds 100% ownership, including each entity’s name, FEIN, income or loss from all sources, and Alabama-source income or loss.
Can I authorize the Department of Revenue to discuss my return with my preparer?
Yes. The signature area includes a checkbox authorizing a Department of Revenue representative to discuss your return and attachments with your preparer.