Bill > SB558

This bill requires certain corporate taxpayers in Arkansas to file their state income tax returns electronically, aligning with federal electronic filing requirements. Specifically, corporations that would be required to file electronically with the Internal Revenue Service (IRS) under a specific federal regulation (26 C.F.R. § 301.6011-5, as of February 23, 2023) must also file their Arkansas state tax returns electronically. This includes individual corporations that meet the IRS electronic filing threshold and corporations that are part of a larger affiliated group where the parent company would be required to file electronically. The Secretary of the Department of Finance and Administration retains the ability to waive the electronic filing requirement if they determine that such filing would cause an undue hardship for a particular taxpayer. The bill will take effect for tax years beginning on or after January 1, 2025, giving businesses time to prepare for the new electronic filing mandate. The goal appears to be streamlining tax filing processes and bringing state tax filing practices in line with federal electronic filing standards.

Budget and Finance

https://arkleg.state.ar.us/Bills/Detail?id=sb558&ddBienniumSession=2025%2F2025R