Georgia Nonresident Shareholders

Nonresident shareholders Georgia

Nonresident shareholders Georgia - Nonresident shareholders of corporations doing business both within and without Georgia shall compute their portion of the corporation’s allocated and apportioned income from the schedules on Form 600S, Page 2. The Georgia net income of nonresidents computed on Schedule 9, Line 7 should be multiplied by the percentage of stock owned.


The result of this calculation yields the beginning taxable income for the nonresident which should be reported on the Georgia individual tax return. This beginning taxable income should be adjusted for the separately stated items mentioned in the Federal Tax Changes section on page 2 and the Adjustments to Federal Income of Shareholders section on page 4. Under Sections 48-7-21(b)(7)(B) and 48-7-27(d)(2) of the Georgia Income Tax Act and Regulations thereunder, all nonresident shareholders must execute an agreement on Form 600S CA wherein said shareholders agree to pay Georgia income tax on their portion of the corporation’s Georgia taxable income or the S Corporation election will be terminated by the Commissioner.

Nonresident shareholders Georgia - Withholding Tax

Special Note: Any S Corporation with nonresident members shall be subject to withholding tax unless a composite return, Form IT CR, is filed or the aggregate annual distribution paid or credited to members is less than $1,000.00. Permission to file a composite return is not required. To ensure Georgia’s recognition of your S Corporation election, attach a properly completed Form 600S CA for each nonresident shareholder to Form 600S when it is filed, even if a composite return has been filed. Please check the “Composite Return Filed” box on Form 600S, Page 1. For composite return information and/or forms call 404-417-2300.


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