Instructions for Form PTE-C Schedule PTE-CK1 Nonresident Composite Payment Return - Alabama

This document contains official instructions for Form PTE-C Schedule PTE-CK1, Nonresident Composite Payment Return - a form released and collected by the Alabama Department of Revenue.

FAQ

Q: What is Form PTE-C Schedule PTE-CK1?
A: Form PTE-C Schedule PTE-CK1 is a Nonresident Composite Payment Return for Alabama.

Q: Who needs to file Form PTE-C Schedule PTE-CK1?
A: Nonresident individuals who are members of a pass-through entity (PTE) that is required to make composite payments in Alabama need to file Form PTE-C Schedule PTE-CK1.

Q: What is a pass-through entity?
A: A pass-through entity is a business entity such as a partnership or limited liability company (LLC) that does not pay income tax itself, but passes its income, deductions, credits, and other tax items through to its owners or members.

Q: What is a nonresident composite payment?
A: A nonresident composite payment is a payment made by a pass-through entity on behalf of its nonresident members to satisfy their Alabama income tax liabilities.

Q: What information is required to be reported on Form PTE-C Schedule PTE-CK1?
A: Form PTE-C Schedule PTE-CK1 requires information about the pass-through entity, its nonresident members, and the composite payments made on their behalf.

Q: When is Form PTE-C Schedule PTE-CK1 due?
A: Form PTE-C Schedule PTE-CK1 is due on or before the 15th day of the fourth month following the close of the taxable year.

Q: Are there any penalties for late or incorrect filing of Form PTE-C Schedule PTE-CK1?
A: Yes, there are penalties for late or incorrect filing of Form PTE-C Schedule PTE-CK1, including potential interest charges and penalties for underpayment of estimated tax.