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Taxable Year Taxpayer Name Account No./FEIN
Schedule K ‑ Determination of Loss Carryover Available
1. Net loss from Schedule J, Line 31 ..................................................................................................................................................(1) __________________________
Additions:
2. Amounts reported on Schedule J, Lines 18 and 22 .....................................................................................................................(2) _____________________________
3. Amounts reported on Schedule J1, Lines 6 and 7, or Schedule J2, Line 8 ................................................................................(3) _____________________________
4. Reduced loss (add Lines 1 through 3; if net amount is positive, enter zero) ...........................................................................(4) _____________________________
5. Excise tax apportionment ratio (Schedules N, N1, O, P, R or S if applicable or 100%) ...........................................................(5) _____________________________%
6. Current year loss carryover available (multiply Line 4 by Line 5) ..............................................................................................(6) _____________________________
Schedule M ‑ Nonbusiness Earnings Allocation
Allocation and apportionment schedules may be used only by taxpayers doing business outside the state of Tennessee within the
meaning of Tenn. Code Ann. §§ 67-4-2010 and 67-4-2110. The burden is on the taxpayer to show that the taxpayer has the right to
apportion.
If all earnings are business earnings as defined below, do not complete this schedule. Any nonbusiness earnings, less related expenses,
are subject to direct allocation and should be reported in this schedule.
"Business Earnings" - 1) earnings arising from transactions and activity in the regular course of the taxpayer’s trade or business, or
2) earnings from tangible and intangible property if the acquisition, use, management, or disposition of the property constitutes an
integral part of the taxpayer’s regular trade or business operations.
Earnings which arise from the conduct of the trade or trades or business operations of a taxpayer are business earnings, and the
taxpayer must show by clear and cogent evidence that particular earnings are classifiable as nonbusiness earnings. A taxpayer may
have more than one regular trade or business in determining whether income is business earnings.
"Nonbusiness Earnings" - all earnings other than business earnings
Net Amounts
Description of Nonbusiness Earnings Gross *Less Related Net Allocated Directly
(If further description is necessary, see below) Amounts Expenses Amounts to Tennessee
1. ___________________________________________________________________________________________________________________________________________
2. ___________________________________________________________________________________________________________________________________________
3. ___________________________________________________________________________________________________________________________________________
4. ___________________________________________________________________________________________________________________________________________
5. ___________________________________________________________________________________________________________________________________________
6. ___________________________________________________________________________________________________________________________________________
7. ___________________________________________________________________________________________________________________________________________
8. ___________________________________________________________________________________________________________________________________________Total nonbusiness earnings (Enter here and on Schedule J, Line 22)
9. ___________________________________________________________________________________________________________________________________________Nonbusiness earnings allocated directly (Enter here and on Schedule J, Line 34)
If necessary, describe source of nonbusiness earnings and explain why such earnings do not constitute business earnings as defined
above. Enumerate these items to correspond with items listed above.
*As a general rule, the allowable deductions for expenses of a taxpayer are related to both business and nonbusiness earnings. Items
such as administrative costs, taxes, insurance, repairs, maintenance, and depreciation are to be considered. In the absence of evidence
to the contrary, it is assumed that the expenses related to nonbusiness rental earnings will be an amount equal to 50% of such earnings
and that expenses related to other nonbusiness earnings will be an amount equal to 5% of such earnings (see Tenn. Comp. R. & Regs.
1320-06-01.23(3)).
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