43-933

43-933. Alternative computation of short period
income

A. If the taxpayer establishes the amount of his taxable income for the period of
twelve months beginning with the first day of the short period, computed as if the
twelve-month period were a taxable year, under the law applicable to that year, then the
tax for the short period shall be reduced to an amount which is that part of the tax
computed on the taxable income for the twelve-month period as the taxable income computed
on the basis of the short period is of the taxable income for the twelve-month period.

B. If the taxpayer, other than a corporation, was not in existence at the end of
the twelve-month period, then in lieu of the taxable income for the twelve-month period
there shall be used for the purposes of subsection A the taxable income for the
twelve-month period ending with the last day of the short period.

C. The tax computed under subsection A shall in no case be less than the tax
computed on the taxable income for the short period without placing the taxable income on
an annual basis. The benefits of subsection A shall not be allowed unless the taxpayer
makes application therefor in accordance with and at such time as regulations prescribed
for the filing of the return for the first taxable year which ends on or after twelve
months after the beginning of the short period.

D. The application, in case the return was filed without regard to subsection A,
shall be considered a claim for credit or refund with respect to the amount by which the
tax is reduced under subsection A. The department shall prescribe such regulations as it
may deem necessary.