A5039

Requires combined groups to be determined on a worldwide basis under corporation business tax.

The bill mandates that combined groups be determined on a worldwide basis under the Corporation Business Tax Act. It modifies the method used to determine the members of a combined group, requiring them to be determined on a worldwide basis for privilege periods beginning on or after July 31, 2026. This change affects how income and losses are shared among members of a combined group, including provisions for net operating loss carryovers and tax credits. The bill also outlines rules for deferred intercompany transactions and the treatment of income from partnerships.