To determine if financial institutions sharing a common parent, such as a bank holding company, shall be required to file separate returns, the secretary shall consider the following factors:
- (1) Whether there is a separate charter for each financial institution;
- (2) The extent of the flow of goods and services between an institution and its parent;
- (3) Whether management oversight by the parent is limited to strategic decisions affecting the operation of all subsidiaries generally, not individual institutions;
- (4) Whether there would be distortion of county income through the use of loss deductions incurred by institutions not doing business in the affected county;
- (5) The presence or absence of common administrative officers or procedures; or
- (6) Whether each institution is conducting business in a manner consistent with separate entities.
Source: 16 SDR 76, effective November 1, 1989.
General Authority: SDCL 10-43-42.1.
Law Implemented: SDCL 10-43-36.