Get 2004 Instruction 1120 Ric. Instructions For Form 1120-ric - Irs

The Gross Income Test In order to qualify as a regulated investment company, the entity must derive at least 90% of its gross income from dividends, interest and similar income items earned in its business of investing in stock, securities, and currencies.

Regulated investment companies (RIC) file this form to report their. income, gains, losses, deductions, credits, and. to figure their income tax liability.

The IRS considers the futures income to be bad income, and because the mutual fund is a regulated investment company (RIC) it can therefore not receive the profits or losses from transacting in futures contracts.

Use Form 1120-RIC, U.S. Income Tax Return for Regulated Investment Companies, to report the income, gains, losses, deductions, credits, and to figure the income tax liability of a regulated investment company (RIC) as defined in section 851.

An RIC must derive a minimum of 90% of its income from capital gains, interest, or dividends earned on investments. To qualify, at least 50% of a company's total assets must be in the form of cash, cash equivalents, or securities.

Registry Identification Code form – Natural Person Submission Type.

A US investment company that meets certain tax requirements regarding its assets, income and distributions, and has made an election to be taxed as a RIC. Mutual funds and closed-end investment companies typically are taxed as RICs.

To make this election, attach to Form 1120-RIC for the tax year that includes the last day of the calendar year for which the fund makes the election a statement that it is making an election under Temporary Regulations section 1.67-2T(j)(2).