Wisconsin Administrative Code › Department of Revenue › Chapter Tax 2 - Income Taxation, Returns, Records And Gross Income › Section Tax 2.65 - Designated agent of combined group

Current through June 24, 2024
(1) SCOPE. Section
			 71.255(7),
			 Stats., requires every combined group to have a designated agent to act on
			 behalf of the group. This section provides rules relating to identifying the
			 designated agent and describes the scope and limitations of the agency
			 relationship.
(2) IDENTIFYING
			 DESIGNATED AGENT.
(a)
Eligibility.
The combined group may select any member as the
			 designated agent, subject to a limitation that the designated agent's taxable
			 year shall be the same as the combined group's taxable year.
(b)
Creation of agency.
A
			 combined group shall appoint a designated agent. The corporation which files,
			 or will file, the first combined return for the combined group is deemed to be
			 appointed as the designated agent. If no combined return is filed, the
			 department shall appoint the parent corporation of the combined group to be the
			 designated agent, or if there is no parent corporation, the department may
			 appoint any corporation in the combined group to be the designated
			 agent.
(c)
Continuity of
			 agency into future years.
Once a member of the combined group is
			 appointed as the designated agent, it shall remain the designated agent of that
			 group for all future years unless one of the following applies:
1. The designated agent leaves the combined
			 group, in which case the corporation which files, or will file, the first
			 combined return after the date the designated agent leaves is deemed to be
			 appointed as the new designated agent.
2. Except as provided in subd. 3., the
			 combined group, or portion of the combined group that includes the designated
			 agent, is acquired by another combined group, in which case the corporation
			 which files, or will file, the first combined return after the date of the
			 acquisition is deemed to be appointed as the new designated agent.
3. The designated agent ceases to exist, in
			 which case the designated agent shall notify the department in writing that
			 another member of the combined group (or successor corporation of any member of
			 the combined group) will thereafter act as designated agent for that taxable
			 year and any prior taxable years. The member appointed for that taxable year
			 and any prior taxable years need not be the new designated agent for all future
			 taxable years. The substitute designated agent will succeed to the rights and
			 responsibilities of the former designated agent and may in turn appoint another
			 designated agent for future taxable years. If the designated agent fails to
			 notify the department in writing of the new designated agent, the department
			 may select a surviving member of the combined group to act as the designated
			 agent.
4. Where subd. 2. does not
			 apply, the designated agent is still a member of the combined group but submits
			 a written request to the department for another combined group member to act as
			 designated agent, and the department grants the request.
Note
Send requests to change the combined group's
				designated agent and notifications of successor designated agents to:
				Corporation Processing Unit, Wisconsin Department of Revenue, P.O. Box 8908,
				Madison, WI 53708-8908.
(d)
Continuity of agency for prior
			 years.
The designated agent of a combined group for a prior taxable
			 year shall continue to act as the designated agent for that taxable year unless
			 the designated agent ceases to exist, in which case par. (c) 3. applies, or the
			 designated agent submits a written request to the department for another
			 combined group member to act as designated agent, and the department grants the
			 request.
Note
Send requests to change the combined group's
				designated agent and notifications of successor designated agents to:
				Corporation Processing Unit, Wisconsin Department of Revenue, P.O. Box 8908,
				Madison, WI 53708-8908. However, if the request relates to prior taxable years
				that are under audit, the designated agent may submit the written request to
				the department's representative that has notified the designated agent of the
				audit.
(e)
Designated agent for purposes of resolving disputes over combined group
			 membership.
If the department determines that one or more corporations
			 are members of a combined group and no combined return was filed, the group of
			 corporations the department asserts is a combined group may appoint a member of
			 that group as the designated agent solely for purposes of contesting the
			 department's determination. The appointment of a designated agent under this
			 paragraph may not be construed as a concession by either the corporations or
			 the department regarding the existence of a combined group or the proper
			 composition of a combined group.