NAC703.2425. Schedule M-3.

     1. If the applicant joins in the filing of a consolidated federal income tax return, the applicant must file schedule M-3 showing the net taxable income or loss for each company or regulated entity in the consolidation, including an adjustment of the excess of accelerated depreciation and amortization of emergency facilities over straight-line depreciation for each company involved.

     2. The applicant must also submit the details of consolidation adjustment and a computation of the system tax liability based on the consolidated net income for the last tax year ending within the period of testing, or immediately prior thereto, for which a tax return was filed. In addition, the applicant must include a computation showing the percentage of tax savings arising from consolidation for the taxable year covered by such a period.

     [Pub. Service Comm’n, Gen. Order 3 Rule 16 § 45, eff. 10-14-82]