41-192: IA 60F Investment Subsidiary Schedule 41-192 (2025)
Iowa · Iowa DOR · Used for tax years 2025
The IA 60F Franchise Combined Schedule reports information for a parent financial institution and its group members. It lists income, Iowa additions and reductions, taxable income, net operating loss carryforwards, and receipts within Iowa and everywhere.
Who files this form
Each financial institution electing to file a combined IA 1120F, Franchise Return for Financial Institutions, with its investment subsidiaries must complete IA 60F.
The schedule reports separate income, apportionment, and payment information for each member of the investment subsidiary group.
What you'll need
Have the following information ready:
- The parent institution’s legal name, FEIN, state of incorporation, federal income tax filing type, and tax period ending date.
- Each group member’s legal name, FEIN, and separately calculated federal taxable income.
- Each member’s tax-exempt interest and dividends subject to Iowa franchise tax, Iowa additions and reductions, Iowa receipts, and everywhere receipts.
- Intercompany adjustments and eliminations, any remaining pre-2023 Iowa net operating loss carryforward, and payment information.
The form also calls for these supporting items:
- Schedules IA 4562A and IA 4562B for the depreciation adjustment entries.
- Statements for “Other payments” in Part VII.
- A single IA 124 containing the group’s aggregate information for the NOL carryforward. Do not submit separate-entity IA 124s.
How to file
Submit IA 60F with the combined IA 1120F return. Enter each group member’s legal name and FEIN in a separate column, and complete Parts III through VI before completing Part II.
Transfer the combined amounts to the corresponding lines of the main return and IA Franchise Schedule 59F as directed in the schedule’s instructions.
For paper filers, multiple copies may be used if the group has more than one investment subsidiary. Complete Part I on every copy. Complete the Adjustments and Total columns only on the copy containing the parent entity’s column, using amounts for the entire group.
The supplied text does not provide a mailing address or e-filing directions.
Common mistakes
- Repeating group totals on multiple paper copies. Complete the Adjustments and Total columns only on the copy with the parent entity’s information. Those columns must account for the entire group.
- Submitting separate-entity IA 124s. These may help calculate NOL carryforwards, but the instructions say not to submit them. Include only one IA 124 with the group’s aggregate information.
- Using the investment subsidiary expense adjustment. Line 2 in both Schedule A additions and reductions is marked “NOT APPLICABLE.”
- Using a different commercial domicile for a subsidiary when apportioning income. The instructions state that Iowa treats every group member’s commercial domicile as the parent financial institution’s commercial domicile.
Questions people ask
What if a group member was included in a federal consolidated return?
You must calculate that entity’s separate federal taxable income for Part II, line 1.
Does Part II, line 2 apply to a subsidiary that is not a financial institution?
Yes. An investment subsidiary included in the combined return must report interest and dividends exempt from federal income tax but subject to Iowa franchise tax, even if the subsidiary is not itself a financial institution.
How is the Iowa Business Activity Ratio calculated?
For each column, divide the Part V total by the Part VI total. Round to the nearest ten-thousandth of a percent, shown as 0.0000%.
Where do payments made on a subsidiary’s behalf go?
Payments submitted under the subsidiary’s FEIN go in that subsidiary’s column. Payments made on its behalf under the parent institution’s FEIN go in the parent’s column.