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SCHEDULE UTP (Form 1120) Department of the Treasury Internal Revenue Service Uncertain Tax Position Statement File with Form 1120, 1120-F, 1120-L, or 1120-PC. Information about Schedule UTP (Form.

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What is an uncertain tax position? Applying tax law to a company's facts is often subject to uncertainty. That uncertainty can arise from ambiguity in the law, case law or regulations, how the company applies the law to its facts, or even a lack of guidance regarding certain types of transactions.

Purpose of Schedule Schedule UTP asks for information about tax positions that affect the U.S. federal income tax liabilities of certain corporations that issue or are included in audited financial statements and have assets that equal or exceed $10 million.

Uncertain Tax Position Reporting Corporations filing Forms 1120, 1120-F, 1120-L, or 1120-PC must file Schedule UTP if total assets equal or exceed $10 million for the tax year and the corporation recorded a liability for unrecognized tax benefits for a tax position in audited financial statements.

Schedule UTP requires the reporting of each U.S. federal income tax position taken by an applicable corporation on its U.S. federal income tax return for which two conditions are satisfied. The corporation has taken a tax position on its U.S. federal income tax return for the current tax year or for a prior tax year.

The FASB definition of an Unrecognized Tax Benefit (per the FASB Codification Glossary) is as follows: Unrecognized Tax Benefit - The difference between a tax position taken or expected to be taken in a tax return and the benefit recognized and measured pursuant to Subtopic 740-10.

Uncertain Tax Position Reporting Corporations filing Forms 1120, 1120-F, 1120-L, or 1120-PC must file Schedule UTP if total assets equal or exceed $10 million for the tax year and the corporation recorded a liability for unrecognized tax benefits for a tax position in audited financial statements.

The new Schedule UTP adds three columns requiring corporations to identify the form or schedule, line number and amount associated with the line on the return. This additional information is required for all items included on Schedule UTP, including any items of deferred income or unearned revenue.

The IRS defines a UTP as a position taken on a tax return for which the corporation or a related party has recorded a reserve in its audited financial statements. A UTP also refers to instances in which a company hasn't recorded a reserve for the position because it expects to litigate it.

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© Copyright 1997-2025
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Form Packages
Adoption
Bankruptcy
Contractors
Divorce
Home Sales
Employment
Identity Theft
Incorporation
Landlord Tenant
Living Trust
Name Change
Personal Planning
Small Business
Wills & Estates
Packages A-Z
Form Categories
Affidavits
Bankruptcy
Bill of Sale
Corporate - LLC
Divorce
Employment
Identity Theft
Internet Technology
Landlord Tenant
Living Wills
Name Change
Power of Attorney
Real Estate
Small Estates
Wills
All Forms
Forms A-Z
Form Library
Customer Service
Terms of Service
DMCA Policy
About Us
Blog
Affiliates
Contact Us
Privacy Notice
Delete My Account
Site Map
All Forms
Search all Forms
Industries
Forms in Spanish
Localized Forms
Legal Guides
Real Estate Handbook
All Guides
Prepared for You
Notarize
Incorporation services
Our Customers
For Consumers
For Small Business
For Attorneys
Our Sites
US Legal Forms
USLegal
FormsPass
pdfFiller
signNow
airSlate workflows
DocHub
Instapage
Social Media
Call us now toll free:
1-877-389-0141
As seen in:
  • USA Today logo picture
  • CBC News logo picture
  • LA Times logo picture
  • The Washington Post logo picture
  • AP logo picture
  • Forbes logo picture
© Copyright 1997-2025
airSlate Legal Forms, Inc.
3720 Flowood Dr, Flowood, Mississippi 39232