August 7, 1989
TO: TAX MEMBERS NO. 29-89
CLOSED-END FUND MEMBERS NO. 35-89
ACCOUNTING/TREASURERS COMMITTEE NO. 27-89
RE: OHIO STATUTE IMPOSING INCOME TAX LIABILITY ON RICs
__________________________________________________________
Recently, Ohio amended its statutory provision exempting
regulated investment companies (RICs) from being taxed either as
a corporation under the State corporate franchise (income) tax or
as a dealer in intangibles under the State intangibles tax.
Under prior law, this exemption was unconditional. (See page 230
of attachment.) The Ohio Code, as amended, provides that the
exemption shall apply only if the RIC files with the State Tax
Commissioner by March 31 of the tax or return year a report
listing the names, addresses and taxpayer identification numbers
for all of its shareholders during the preceding calendar year.
(See page 232 of attachment.)
The statute does not explicitly provide whether the State
will attempt to enforce the provision against non-Ohio RICs.
We will keep you informed of developments.
Keith D. Lawson
Assistant General Counsel
Attachment