1. (a) In filing a Consolidated Income Tax Return for Oklahoma, the Oklahoma taxable income for each corporation is computed separately on its own factors and then combined for one total income upon which the tax is computed.
2. (b) A Consolidated Oklahoma Income Tax Return is generally recognized as a combined return.
3. (c) A corporation's election to file a separate return or consolidated return is made with the timely filing of the return. Once the election is made, it is irrevocable for all future tax years unless the Oklahoma Tax Commission releases the affiliated group of corporations from such election.

4. (d) When an election is made to file an Oklahoma Combined Return the following criteria must be met.

   1. (1) A federal consolidated returns must have been filed.
   2. (2) All companies doing business in Oklahoma must be included in the Oklahoma Combination.
   3. (3) Only those corporations included in the federal consolidation may be included in the Oklahoma combined return.
   4. (4) The Parent Corporation name should be used for the Oklahoma return and all corporations must be included in one filing. Returns belonging to a Oklahoma Combination will not be accepted if mailed in separately. [See: 68 O.S. §2367]

Amended at 11 Ok Reg 555, eff 11-10-93 (emergency)

Amended at 11 Ok Reg 3497, eff 6-26-94