CHAPTER Rev 1400 FRANCHISE TAX

Statutory Authority: RSA 21-J:13; 83-C:3,I; 83-C:5

PART Rev 1401 DEFINITIONS

Rev 1401.01 "Public utility", as defined in RSA 83-C:1, II includes only those public utilities that operate under a franchise granted by the State of New Hampshire and are regulated by the New Hampshire public utilities commission.

Rev 1401.02 "Public authority" means municipalities or other political subdivisions or agencies of state or federal governments.

PART Rev 1402 GROSS RECEIPTS

Rev 1402.01 Gross Receipts From Sales Of Electricity. Revenues from the sales of electricity to the following shall be included in gross receipts subject to taxation under RSA 83-C:

(a) Residential, commercial or industrial sales;

(b) Sales to public authorities;

(c) Interdepartmental sales; or

(d) Sales for street or highway lighting.

Rev 1402.02 Sales Exempt From Tax. The following revenues from sales of electricity shall not be included in the gross receipts subject to taxation under RSA 83-C:

(a) Sales for use outside the State of New Hampshire; or

(b) Sales to another utility subject to RSA 83-C.

PART Rev 1403 RETURNS, ESTIMATES AND EXTENSIONS

Rev 1403.01 DP-107 Utility Franchise Tax Return.

(a) Form DP-107, utility franchise tax return, shall be used by public utilities filing a return for franchise taxes and underpayment of estimates, as required by RSA 83-C:3, I and II.

(b) Public utilities shall provide the following information on the Form DP-107:

(c) Each public utility subject to taxation under RSA 83-D, relative to nuclear station property, shall attach a schedule to form DP-107 reconciling their total gross receipts with New Hampshire gross receipts for the following:

Rev 1403.02 Form DP-107-ES New Hampshire Estimated Utility Franchise Tax.

(a) Form DP-107-ES, New Hampshire estimated utility franchise tax shall be used by a public utility filing a declaration of estimated tax, as required under RSA 83-C:3,II.

(b) Public utilities shall provide the following information on form DP-107-ES:

Rev 1403.03 Form DP-107-EXT Payment Voucher and Extension Application for Utility Franchise Tax.

(a) Form DP-107-EXT, payment voucher and extension application for utility franchise tax, shall be used by a public utility requiring an extension of time, as provided by RSA 83-C:6.

(b) Public utilities requesting an extension of time, as provided in (a), above, shall provide the following information:

(c) If all of the requirements of (b), above, are met, the request for extension shall be granted.

(d) An extension shall be effective for a period of 30 days, beginning on the original due date of the return.

Rev 1403.04 Amended Utility Franchise Tax Returns.

(a) Public utilities amending an original utility franchise tax return shall use a form DP-107 for the particular tax year and clearly mark the word "amended" at the top of the front page.

(b) Amended franchise tax returns shall be filed within 3 years of the prescribed filing date for the original return in accordance with the statute of limitations under RSA 21-J:29.

(c) Public utilities shall attach a statement to the amended franchise tax return providing an explanation of the adjustments made to the original return.

Rev 1403.05 Use of Whole Dollars. All returns and declarations filed with the department may be prepared by rounding off to the nearest whole dollar.

PART Rev 1404 ADMINISTRATION

Rev 1404.01 Records and Information.

(a) Each public utility required to report to the department under RSA 83-C shall maintain all accounting, financial, and related information contained in the company's records as follows:

(b) The public utility shall retain all records required in (a), above, in accordance with RSA 83-C:7,II and RSA 21-J:29,I(a);

(c) Notwithstanding (b), above, the public utility shall retain the records for as long as it is needed under the following circumstances:

(d) Each public utility that remits or is required to remit a return to the department shall provide the commissioner or his representative with:

(e) The public utility shall provide the access described in (d), above, during normal business hours, upon 30 days advance notice from the department.

(f) When required by the department, as described in (d) and (e), above, the public utility shall make the following information available:

Rev 1404.02 Confidentiality of Department Records.

(a) All franchise tax returns and information in the possession of the department shall be confidential and shall only be disclosed in conformity with the provisions of RSA 21-J:14.

(b) A public utility may authorize the department to disclose their tax information to their authorized representatives only under the following circumstances:

Rev 1404.03 Appeals. Public utilities requesting a hearing, as provided under RSA 21-J:28-b, on the amount of the tax assessment, shall do so in accordance with Rev 207.