Schedule 2: Separate Entity Filer With Multistate Activity (2024)
West Virginia · WV Tax Division · Used for tax years 2024
West Virginia Schedule 2 of Form CIT-120 calculates corporate net income tax for a separate entity filer with multistate activity. It reports income adjustments, income apportioned and allocated to West Virginia, net operating loss carryforwards, and tax credits to determine the
Who files this form
The 2024 Schedule 2 for Form CIT-120 is for a separate entity filer with multistate activity.
What you'll need
The schedule calls for these returns and schedules to supply its figures:
- Federal return: Federal taxable income for line 1. The form refers to an attached federal return.
- Schedule B: Increasing adjustments from line 12 and decreasing adjustments from line 25.
- Form CIT-120APT: Nonbusiness income allocations and the West Virginia apportionment factor. The completed form must be attached.
- Schedule NOL: The Column 7 total for the net operating loss carryforward on line 11.
- Form CIT-120TC: The Total Credit Line, Column 2, for tax credits on line 17.
You also need the corporation's name and FEIN.
Common mistakes
- Leaving out Form CIT-120APT: Line 7 explicitly states that the completed form must be attached.
Questions people ask
How is income subject to apportionment calculated?
Add the increasing adjustments on line 2 to federal taxable income on line 1, then subtract the decreasing adjustments on line 3. Enter the result on line 4. Subtract total nonbusiness income allocated everywhere on line 5 to get line 6, total income subject to apportionment.
Where does the West Virginia apportionment factor come from?
Use Form CIT-120APT, Schedule B, Part 1, Part 2 or Part 3, Column 3. Enter the factor on line 7 and attach the completed Form CIT-120APT.
What tax rate does the 2024 schedule use?
Line 15 lists a rate of .065, or 6.5%. Multiply West Virginia net taxable income on line 14 by this rate to calculate the tax on line 16.
Where do I enter the final amount?
Subtract the tax credits on line 17 from the tax on line 16. Enter the result on Schedule 2, line 18, and on Form CIT-120, page 2, line 9.