§ 39-22-501 — Taxation of regulated investment companies

Colorado § 39-22-501

• Jurisdiction: Colorado
• Title 39: Taxation
• Art.: Income Tax

Text

(1) (a) For
purposes of this article, a regulated investment company shall have the same
meaning as set forth in section 851 of the internal revenue code.

(b) For purposes of this article, the net income of a regulated investment
company in each year in which the corporation is taxed as a regulated investment
company for federal income tax purposes shall be the investment company
taxable income of such corporation, adjusted as provided in section 39-22-304 (2)
and (3).

(2) (a) For purposes of this article, a captive regulated investment company
means a regulated investment company of which the shares or beneficial interests
are not regularly traded on an established securities market and of which more than
fifty percent of the voting power or value of the beneficial interests or shares are
owned or controlled, directly, indirectly, or constructively, by a single entity that is:

(I) Treated as an association taxable as a corporation under the internal
revenue code; and

(II) Not exempt from federal income tax pursuant to the provisions of section
501 (a) of the internal revenue code.

(b) Any voting stock in a regulated investment company that is held in a
segregated asset account of a life insurance corporation, as described in section
817 of the internal revenue code, shall not be taken into account for purposes of
determining whether a regulated investment company is a captive regulated
investment company.

Legislative History

Source: L. 64: R&RE, p. 776, � 1. C.R.S. 1963: � 138-1-56. L. 2009: Entire section amended, (HB 09-1093), ch. 75, p. 269, � 2, effective April 2.