§ 44-3-46 - "Qualifying corporation" and "full-time equivalent active employee" defined.
SECTION 44-3-46
§ 44-3-46 "Qualifying corporation" and"full-time equivalent active employee" defined. – (a) A "qualifying corporation" is any corporation that:
(1) Annually elects (in a manner that may be determined bythe tax administrator) to be a qualifying corporation;
(2) Has at least ten (10) full-time equivalent activeemployees in this state; and
(3) Is principally engaged in one or more of the businessactivities described in industry numbers 7371, 7372 and 7373 in the StandardIndustrial Classification, Office of the Statistical Standards, ExecutiveOffice of the President, United States Bureau of the Budget, as revised fromtime to time.
(b) For purposes of this section, "full-time equivalentactive employee" means any employee who works a minimum of thirty (30) hoursper week in this state, or two (2) or more part-time employees whose combinedweekly hours equal or exceed thirty (30) hours per week in this state.
(c) The annual election by a corporation to be treated as aqualifying corporation for a fiscal year becomes effective for purposes of thissection as of the first day of the fiscal year for which the election is filedand must be filed with the tax administrator on or before the due dateprescribed by law (including any extensions) for the filing of thecorporation's tax return with the tax administrator for the fiscal year. In noevent shall an election be effective for fiscal years commencing prior toJanuary 1, 1997, and in no event shall the exclusion available under theprovisions of this chapter be available to options that were issued prior toJanuary 1, 1997.