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                                             CITY OF MUSKEGON
                                             2002 PARTNERSHIP INCOME TAX RETURN
                                  INSTRUCTIONS FOR FORM M-1065 FOR PARTNERSHIPS
                                             WITH BUSINESS ACTIVITY IN MUSKEGON
Filing Date:
Calendar year taxpayers must file by April 30, 2003. Fiscal year            The return shall set forth the entire net profit for the period covered
taxpayers must file within four (4) months after the end of their fiscal    and show the distributive share of each partner, indicating those who
year.                                                                       are residents of Muskegon and those who are non-residents. If
                                                                            residency changes during the taxable period for any partner, use two
Remittance:                                                                 lines to indicate the allocation of income by status in all schedules
Partnerships electing to pay the tax for partners must remit for all        where applicable, based on the proration of time in each status.
partners when filing. The tax due, if One Dollar ($1.00) or more, must
be paid when filing the return. Make remittance payable to:                 Option to Pay Tax:
CITY OF MUSKEGON.                                                           At its election, a partnership may file either an information return or it
                                                                            may compute and pay the tax which is due with respect to each
Mailing Address:                                                            partner's share of the net profit of the business, after giving effect to
         INCOME TAX DEPARTMENT                                              exemptions and other items to which each partner is entitled. Such
         P.O. BOX 29                                                        election is available to all partnerships regardless of the residency of
         MUSKEGON, Ml 49443-0029                                            the partners. The partnership may pay the tax for partners only if it
                                                                            pays for all partners subject to the tax. Compute the tax to be paid on
Effective Date of Tax:                                                      the "Tax Payment by Partnership" section, Schedule 1, Page 1,
The  Muskegon  income  tax  became  effective  July  1,  1993.              Columns 1 through 7. Do not fill out this schedule if the return is for
Partnerships are required to file a return for each year commencing         information purposes only.
with their first calendar or fiscal year ending after July 1,1993.          If the partnership elects to pay the tax on behalf of the partners, then
Who Must File a Partnership Return:                                         such  election  and  payments  shall  be  deemed  to  meet  the
(Form M-1065)                                                               requirements for the filing of a return, as provided by the Ordinance,
Every partnership that carried on business activities in Muskegon on        for each partner who has no other income subject to the tax. However,
or after July 1, 1993, whether or not an office or place of business was    an individual return shall be required from any partner having taxable
maintained in the City, is required to file an annual return within four    income other than his (her) distributive share of the net profit of the
(4) months following the end of their tax year. If reporting on a           partnership. In such instances, the individual partner should enter the
calendar year basis, the return must be filed by April 30 of the            total partnership income from his (her) Federal Form 1040 on the
following year. LLC's, LLP's, syndicates, joint ventures, pools and like    Muskegon tax return, M-1040, Lines 2, 4 and 6 of Column I and enter
organizations will also use Form M-1065. So called "tax option"             applicable  exclusions  in  Column  ll.  Credit  for  tax  paid  by  the
corporations  (those  filing  under  Sections  1371-1377,  Internal         partnership is to be entered on Line 22 of the M-1040.
Revenue Code) must file as a corporation on Form M-1120.                    Partnership as Taxpayer:
Renaissance Zone Reduction                                                  If the partnership elects to pay the tax on behalf of the partners, then
A partnership  located  and  doing  business  in  a  Muskegon               it assumes the status of a taxpayer to the following extent:
Renaissance Zone may be eligible to claim the new Renaissance                  1. Timely Payment: Payment must be made within four (4) months
Zone deduction. This deduction allows the partnership or the partners,            of the end of the tax year or period. Delinquent tax payments will
if qualified, to deduct the portion of the partnership income earned in           be subject to interest and penalty the same as delinquent
a Renaissance Zone from income subject to Muskegon's income tax.                  payments from any other taxpayer.
A taxpayer is not qualified to claim the deduction if the taxpayer is          2. Payment of Estimated Tax: The election of the partnership to
delinquent for any Michigan or local taxes.                                       pay the tax on behalf of the individual partners also carries with
                                                                                  it the requirement to file a Declaration of Estimated Income Tax
If the partnership elects to pay the tax for the partners, the deduction          Form M-1040ES. A declaration must be filed, and quarterly
is claimed on the partnership return. Otherwise, the deduction is                 estimated tax payments must be made, if the estimated annual
passed through to the partners who claim the deduction by filing                  tax liability for the partnership is expected to exceed $100.00. If
Schedule RZ with their individual returns. A Muskegon income tax                  the partnership files Form M-1040ES and makes the required
return must be filed to claim this deduction. Contact the Income Tax              quarterly payments, the partners will not be required to file
Department to request Schedule RZ of M-1065.                                      Declarations as individuals, unless they have additional income,
                                                                                  not subject to Muskegon income tax withholding, on which the
Resident vs. Non-Resident Partners:                                               Muskegon income tax is expected to exceed $100.00. The fiscal
Partners who are RESIDENTS of Muskegon are taxed on their entire                  year of the partnership will govern in establishing the dates for
distributive share of the net profit of the partnership, including that           filing the declaration and paying the estimated tax.
arising from business activities outside of the City of Muskegon and
including interest, dividends, rents and royalties and gains from the       INSTRUCTIONS FOR PAGE 1
sale or exchange of property, either tangible or intangible.                Identification and Information Section:
                                                                            All partnerships must complete the Identification and Information
Partners who are non-residents of Muskegon are taxed on their               Section and check only one box, at the bottom of the section,
distributive share of the portion of the net profit attributable to:        designating the return as an information return or a return on which
   1. Business activity in the City of Muskegon,                            the partnership elects to pay tax on behalf of the partners.
   2. Rental of property in the City, and
   3. The gains from the sale or exchange of real or tangible personal      Schedule 1, Tax Payment by Partnership:
         property in the City.                                              Column 1, Adjusted Partnership Income: Complete the appropriate
                                                                            schedules on Page 2 of Form M-1065. Transfer the amounts from
Non-residents are not taxed on their share of the net profit from           Schedule C, (Distribution to Partners), Column 7, to this column. List
business activity outside of Muskegon, net rentals from property            amounts in same order as partners are listed in the Identification and
located outside the City, gains from the sale or exchange of real or        Information Section of page 1.
tangible property located outside the City, gains from the sale or
exchange  of  securities  or  other  intangible  property,  interest  or    Column 2, Allowable individual partner deductions which relate to the
dividends.                                                                  partnership are deducted in column 2. These deductions include net
                                                                            operating loss carryover and the Renaissance Zone deduction. This
The Partnership Return, Form M-1065, is designed to distinguish             column is also used to adjust for a net capital loss realized by any of
between that income taxed to both residents and non-residents, and          the partners, in excess of the partner's maximum allowable ($3,000)
that taxed to residents only.                                               capital loss deduction. Therefore, a net capital loss realized by any of

                                                                INSTRUCTIONS PAGE 1



the  partners,  in  excess  of  the  partner's  allowable  capital  loss    1,  1993  fair  market  value  (June  30th  closing  price  for  traded
deduction must be added back in column 2, page 1. The allowable             securities) or the cost if the date acquired was subsequent to July 1,
capital loss deduction for each partner is the lesser of (1) the net        1993, and the proceeds from the sale or exchange; or (2) by using the
capital loss, (2) the amount in column 1, page 1, computed without          gain or loss for the entire holding period, as computed for Federal
regard to capital gains and losses, or (3) $3,000. Capital gains and        income tax purposes, and computing the taxable portion of such gain
losses, and net operating loss carryovers are to be handled in the          or loss on the ratio that the number of months held after July 1, 1993,
same manner as provided in the Federal Internal Revenue Code.               is to the total number of months the property was held. The fair market
Nonresident partners must allocate net operating losses to Grand            value of property shall be determined by an appraisal or similar
Rapids at the percentage of business conducted in Grand Rapids in           reliable evidence.
the year in which the loss was sustained. ATTACH A SCHEDULE
D E TAILING  COMPUTATION  OF  AMOUNTS  REPORTED  IN                         Schedule C, Distribution to Partners:
COLUMN 2.                                                                   Complete this schedule according to captions and transfer figures in
                                                                            Column 7 to Page 1, Column 1, only if the partnership is paying the
Column 3, Exemptions: Exemptions are allowed for each partner and           tax for all its partners. Column 4 is a memorandum column only and
his or her dependents. An exemption of $600.00 is allowed for the           is to be used to compute the amount of exclusion to be transferred to
partner, the partner's spouse, and each dependent. In general, the          the individual partner's Form M-1040.
same rules apply in determining dependents as under the Federal
Internal Revenue Code. A spouse may be taken as an exemption on             Schedule D, Business Allocation Formula:
the partnership return only if such spouse has no income subject to         The Business Allocation Percentage Formula is to be used by
Muskegon income tax. Additional exemptions are allowed for a                NONRESIDENT owners of businesses with business activity both
taxpayer  who  is:  age  65  or  over;  blind;  deaf;  or  paraplegic,      within and without the City of Muskegon who, because they do not
quadriplegic, hemiplegic or totally and permanently disabled.               maintain sufficient records to accurately reflect the net profits from
                                                                            operations conducted within the City of Muskegon, or for other
Column 5, Total Tax: Resident partners are taxed at the rate of 1% of       reasons, are not using the separate accounting method.
their taxable income (Column 4). Non-residents partners are taxed at
the rate of 1/2 of 1% of their taxable income. Partners who changed         Line 19a. Enter in Column 1 the average net book value of all real and
residency status during the year are to use two lines to indicate the       tangible  personal  properly  including  inventories  owned  by  the
allocation of income by status in all schedules where applicable,           business, regardless of location; and in Column 2 enter the net book
based on the proration of time in each status.                              value of the real and tangible personal property including inventories
                                                                            located in the City of Muskegon. The average net book value of real
Column 6, Credits: Enter in this column tax payments made by the            and  tangible  personal  property  including  inventories  may  be
partnership and the applicable credit for payments made by the              determined by adding the net book values at the beginning of the year
partnership on behalf of Muskegon resident partners for income taxes        and the net values and the end of the year and dividing the sum thus
paid to another municipality, if the income on which such tax was           obtained by two. Any other method which will accurately reflect the
levied is included in this return. Do not take credit for income taxes      average net book value for the year will also be permitted.
paid another municipality on behalf of partners who are not Muskegon
residents. The credit shall be the lesser amount of either (1) the          Line 19b. Enter in Column 1 the gross annual rentals of real properly
income tax paid the other municipality, or (2)1/2 of 1% of the amount       multiplied by 8 for all rented real property regardless of location. In
obtained by deducting the amount of exemptions claimed on Page 1,           Column 2 enter the gross annual rentals of real property multiplied by
Column 3 of the of this return from the gross income subject to tax by      8 for all rented real property located in the City of Muskegon. Gross
such other city.                                                            annual rentals refer to real property, rented or leased and should
                                                                            include the actual sums of money or other consideration payable,
INSTRUCTIONS FOR SCHEDULES ON PAGE 2:                                       directly or indirectly, by the taxpayer for the use or possession of such
Schedule A, Allocable Partnership Income:                                   real property.
The ordinary income or loss reported on the Federal Form 1065 must
be adjusted to arrive at the partnership income to be apportioned to        Line 20. Enter in Column 1 the total compensation paid to all
the nonresident partners on the basis of the Business Allocation            employees during the year and in Column 2 enter the amount of
Formula, Schedule D. To Line 1, add those deductions on the federal         compensation paid to employees for work done or for services
return, such as partners' salaries and the Muskegon city income tax (if     performed within the City of Muskegon during the year.
deducted) and deduct the Section 179 depreciation and the non-
business income as developed on Schedule B, Line 9. The resulting           Line 21. Enter in Column 1 the total gross receipts from all sales or
answer on Line 6 is to be distributed on the basis of the partnership       services rendered during the year and in Column 2 enter the amount
agreement and shown in Schedule C, Column 1, in the same order as           of gross receipts from sales made or services rendered in the City of
the partners are listed in the Identification and Information Section.      Muskegon during the year.

Schedule B, Non-Business Income and Exclusions:                             Line 23. In determining the average percentage (Line 23), a factor
A direct determination can be made of certain partnership income as         shall be excluded from the computation only when such factor does
to whether or not it was earned in the City.A resident partner is taxed     not exist anywhere insofar as the taxpayer's business operation is
on all income regardless where earned but a non-resident partner is         concerned and, in such cases, the sum of the percentage on Line 22
taxed only on that portion earned in the City. In addition, the income      shall be divided by the number of factors actually used.
tax ordinance exempts specific income from both residents and non-
residents (see NOTE on Page 2, Schedule B). In Column 1, enter the          Tax Due or Refund:
amounts from the various pages, lines and schedules of Federal Form         If the partnership has elected to pay the tax for the partners and tax
1065 as indicated. In Columns 2 and 4, prorate Column 1, on the ratio       due is one dollar ($1.00) or more it must be paid when filing the return.
of  residents' and  nonresidents' percentages  according  to  the           Make check or money order payable to: City of Muskegon. Mail both
partnership agreement. Determine the amount of non-taxable income           the return and payment to: Income Tax Department, P.O. Box 29,
in each category in accordance with the exclusions allowed by the           Muskegon, Ml 49443-0029.
ordinance and enter in Columns 3 and 5. Each individual partners'
proportionate share is to be determined for Lines 10 through 17             If the payments and credits exceed the amount of tax, enter the
Columns 3 and 5 and reported on the individual partners' Form M-            amount of the overpayment on Page 1, Line 11. The over-payment will
1040. If the partnership income is not divided evenly or if three or        be refunded by check. Do not take credit for the over-payment on your
more persons are partners, attach a schedule showing distribution of        Estimated Tax Form M-1040ES for 2003. Refunds will be made as
income and exclusions.                                                      quickly as possible, but please allow 90 days before making any
                                                                            inquiry. Refunds of less than One Dollar ($1.00) will not be made. Tax
Gains and losses from the sale or exchange of property are treated in       due of less than One Dollar ($1.00) need not be paid.
the same manner, and the amount subject to tax determined on the
same basis, as under the Federal Internal Revenue Code.                     Assistance:
                                                                            If you have any questions not answered by these instructions, or if you
Only the amount of the gain or loss occurring from July 1, 1993, to         need assistance in preparing your return, please call the Income Tax
date of disposition, shall be recognized for purposes of the Muskegon       Department at (231 ) 724-6770. You may write or visit our office
income tax. The amount of gain or loss occurring after July 1, 1993 is      located  in  City  Hall,  933  Terrace,  Muskegon,  Michigan.  Forms
to be determined by either (1) computing the difference between July        available online at: www.shorelinecity.com/incometax.asp
                                                             INSTRUCTIONS PAGE 2



                                    2002 CITY OF MUSKEGON M-1065
                                                               PARTNERSHIP INCOME TAX RETURN

FOR CALENDAR YEAR 2002 OR OTHER TAXABLE PERIOD BEGINNING_____________________, 2002 AND ENDING_____________________, 20 _____.
                                                                      IDENTIFICATION AND INFORMATION
                     NAME OF PARTNERSHIP                                                               DATE BUSINESS STARTED

                                                                                                       NUMBER OF EMPLOYEES ON DECEMBER 31, 2000
 PLEASE NUMBER AND STREET                                                                              NUMBER OF PARTNERS
      TYPE
       OR                                                                                              TELEPHONE NUMBER
      PRINT          CITY, TOWN OR POSTOFFICE                                                          MAIN ADDRESS IN MUSKEGON

                                                                                                       FEDERALEMPLOYER IDENTIFICATION NUMBER


                                                                                                                                                                                    MUSKEGON
                                            NAME AND HOME ADDRESS OF EACH PARTNER                                                                   SOCIALSECURITY                  RESIDENT
                                                                                                                                                         NUMBER                     YES      NO
a.

b.

c.

d.

e.


 I INFORMATION RETURN. COMPLETE IDENTIFICATION AND INFORMATION SECTIONS AND                      I PARTNERSHIPELECTS TO PAY THE TAX ON BEHALF OF THE PARTNERS. THE PARTNERSHIP
      APPLICABLE SCHEDULES ON PAGE 2.                                                               MAYPAYTAX FOR PARTNERS ONLY IF IT PAYS FOR ALL PARTNERS SUBJECT TO THE TAX.


                      SCHEDULE 1: TAX PAYMENT BY PARTNERSHIP (IF INFORMATION RETURN ONLY, DISREGARD THIS SECTION)
              COLUMN 1                        COLUMN 2               COLUMN 3                  COLUMN 4                   COLUMN 5                   COLUMN 6                   COLUMN 7
       ADJUSTED PARTNERSHIP             ALLOWABLE INDIVIDUAL EXEMPTIONS (SEENOTE             TAXABLE INCOME            TOTAL TAX (MULTIPLY             CREDITS                    TAX DUE
       INCOME (FROM PAGE2,                  DEDUCTIONS (SEE      2 AND INSTRUCTIONS)         (COLUMN1 LESS         COLUMN4 BY1% FOR                (SEEINSTRUCTIONS)           (COLUMN5 LESS
                                                                                                                  RESIDENTSAND.5% FOR
       SCHEDULE C, COLUMN 7)                  INSTRUCTIONS)                                  COLUMNS 2 AND 3)                                                                    COLUMN6)
                                                                                                                         NON-RESIDENTS
        (SEENOTE 1 BELOW)                                                                                              (SEE INSTRUCTIONS)
a.            $                        $                        $                       $                         $                           $                           $
b.

c.

d.

e.

TOTALS

NOTE 1             APARTNER WHO HAS OTHER INCOME IN ADDITION TO THE PARTNERSHIPINCOME MUSTFILE AN INDIVIDUALRETURN AND SHOW ON SUCH RETURN THE AMOUNTS ENTERED ABOVE IN 
                   COLUMN 1, 2 AND 6. APARTNER WHO IS CLAIMING HIS EXEMPTION AS A MEMBER OF ANOTHER PARTNERSHIPIS NOT TO CLAIM HIS EXEMPTION IN THIS PARTNERSHIPRETURN IN COLUMN 3.


                                                               PAYMENTS AND CREDITS                                                                               DO NOTWRITE IN SPACE BELOW
8.. a. TAX PAID WITH TENTATIVE RETURN                                                                                                         $                   FILE                ITEMS
       b. PAYMENTS ON DECLARATION OF MUSKEGON INCOME TAX                                                                                      $
       c. OTHER CREDITS - EXPLAIN IN ATTACHED STATEMENT                                                                                       $                   CODE
9. TOTAL - ADD LINES 8a, b ANDc (THIS TOTALMUSTAGREE WITH THE TOTALOF COLUMN 6 ABOVE)                                                                                     AUDITRESULTS
                                                                                                                                              $
                                                                 TAX DUE OR REFUND
10. IF YOUR TAX (COLUMN 5) IS LARGER THAN YOUR PAYMENTS (LINE 9), ENTER BALANCE DUE                                                           $
       PAYBALANCE DUE IN FULLWITH THIS RETURN. MAKE REMITTANCE PAYABLE TO: CITYOFMUSKEGON
       MAIL TO: INCOME TAX DEPARTMENT, P.O. BOX 29, MUSKEGON, MICHIGAN 49443-0029.                                                                                AUDITOR
11. IF THE PAYMENTS (LINE 9) ARE LARGER THAN THE TAX (COLUMN 5 TOTAL) ENTER OVERPAYMENT TO BE REFUNDED                                        $                   APPROVAL

                     I DECLARE THAT I HAVE EXAMINED THIS RETURN (INCLUDING ACCOMPANYING SCHEDULES) AND TO THE BESTOF MYKNOWLEDGE AND BELIEF, ITIS TRUE, CORRECTAND
                     COMPLETE. IF PREPARED BY A PERSON OTHER THAN THE TAXPAYER, THIS DECLARATION IS BASED ON ALLINFORMATION OF WHICH THE PREPARER HAS MYKNOWLEDGE.

                     I I AUTHORIZE THE INCOME TAX DEPARTMENT TO DISCUSS THIS RETURN AND ATTACHMENTS WITH THE PREPARER.
      SIGN           DATE                   SIGNATURE OF PARTNERORMEMBER                               TITLE                                                  PHONE

      HERE           DATE                   INDIVIDUALOR FIRM SIGNATURE OF PREPARER                    ADDRESS                                                PHONE




                                                                                         PAGE 1



                                                    SCHEDULE A - ALLOCABLE PARTNERSHIP INCOME
1. ORDINARY INCOME (OR LOSS) FROM PAGE 1, LINE 22, U.S. PARTNERSHIPRETURN OF INCOME, FORM 1065                                                                                  $
2. ADD PARTNERS'SALARIES AND INTERESTDEDUCTED IN DETERMINING INCOME ON FEDERALFORM 1065

3. ADD CITYOF MUSKEGON INCOME TAX, IF DEDUCTED IN DETERMINING INCOME ON FEDERALFORM 1065

4. TOTAL(ADD LINES1, 2 AND 3)

5. LESS NON-BUSINESS INCOME INCLUDED IN LINE 1 ABOVE (FROMSCHEDULE B, COLUMN 1, LINE 9 BELOW)
6. TOTALINCOME SUBJECT TO ALLOCATION - TO SCHEDULE C BELOW                                                                                                                      $

                                               SCHEDULE B - NON-BUSINESS INCOME AND EXCLUSIONS
                                                                                       COLUMN 1               COLUMN 2                 COLUMN 3               COLUMN 4               COLUMN 5
                                                                 FEDERAL                  TOTAL                  RESIDENT               RESIDENT              NON-RESIDENT           NON-RESIDENT
                                                              FORM1065                 NON-BUSINESS              PARTNERS'             PARTNERS'               PARTNERS'              PARTNERS'
                                                             REFERENCE                    INCOME          SHAREOFCOL. 1                EXCLUSIONS         SHAREOFCOL. 1              EXCLUSIONS
7. INCOME FROM OTHER PARTNERSHIPS, TRUSTS ETC.              PAGE1, LINE 4         $                      $                        $                      $                      $
8. OTHER - ATTACH STATEMENTDETAILING

9. NON-ALLOCABLE INCOME (ADDLINES 7 AND 8)              TO SCH A, LINE 5

10. RENTALACTIVITIES                                 SCHEDULE K, LINES 2 & 3c

11. INTERESTINCOME                                          SCH K, LINE 4a

12. DIVIDEND INCOME                                         SCH K, LINE 4b

13. ROYALTYINCOME                                           SCH K, LINE 4c

14. NETSHORT TERM CAPITALGAIN (LOSS)                        SCH K, LINE 4d

15. NETLONG TERM CAPITALGAIN (LOSS)                         SCH K, LINE 4e

16. NETSECTION 1231 GAIN (LOSS)                             SCH K, LINE 6

17. OTHER GAIN (LOSS) - ATTACHSTATEMENTDETAILING
18. TOTALS (ADDLINES 9 THROUGH17)                                                 $                      $                        $                      $                      $

NOTE 2      ALL PARTNERS EXCLUDE INTERESTFROM GOVERNMENTALOBLIGATIONS AND INCOME, GAINS AND LOSSES PRIOR TO JULY 1, 1993. IN ADDITIONS, NON-RESIDENT PARTNERS EXCLUDE ALL
            OTHER DIVIDENDS, INTERESTAND NO-TAXABLE INCOME FROM ACTIVITIES OUTSIDE THE CITYOF MUSKEGON.


                                                        SCHEDULE C - DISTRIBUTION TO PARTNERS
                 COLUMN 1                 COLUMN 2                   COLUMN 3                  COLUMN 4                       COLUMN 5                 COLUMN 6                   COLUMN 7
                                      ALLOCATION PERCEN-              ALLOCATED              MEMO ALLOCATION                  NON-BUSINESS             NON-BUSINESS                  ADJUSTED
                  ALLOCABLE            TAGE APPLY ONLYTO                INCOME                      EXCLUSION              TAXABLEINCOME            TAXABLEINCOME NON-           PARTNERSHIP
                    INCOME            NON-RESIDENTS (ENTER          (COL. 1  X COL. 2)      (COL. 1 LESS COL. 3)           RESIDENTS (SCH B.         RESIDENTS (SCH B.                INCOME
PARTNER       (SCHEDULEA, LINE 6)      100% OFRESIDENTS)                                     (TO SCH H, M-1040)            COL. 2 LESSCOL. 3         COL. 4 LESSCOL. 5)       (ADDCOLS. 3, 5 AND 6)
a.                                                          %
b.                                                          %
c.                                                          %
d.                                                          %
e.                                                          %
TOTALS


                                                     SCHEDULE D - BUSINESS ALLOCATION FORMULA
                                                                                                                              COLUMN 1                 COLUMN 2                   COLUMN 3
                                                                                                                                LOCATED                 LOCATEDIN                 PERCENTAGE
                                                                                                                              EVERYWHERE                MUSKEGON              (COLUMN2 DIVIDED BY
                                                                                                                                                                                     COLUMN1)
19. a. AVERAGE NETBOOK VALUE OF REALAND TANGIBLE PERSONALPROPERTY                                                     $                         $
      b.GROSS ANNUALRENT PAID FOR REALPROPERTYONLY MULTIPLIED BY 8
      c. TOTALS (ADDLINES1a AND b)                                                                                                                                                                 %
20. TOTAL WAGES, SALARIES, COMMISSIONS AND OTHER COMPENSATION OF ALLEMPLOYEES                                                                                                                      %
21. GROSS RECEIPTS FROM SALES MADE OR SERVICES RENDERED                                                                                                                                            %
22. TOTALPERCENTAGES - ADD THE PERCENTAGES COMPUTED IN COLUMN 3, LINES 19c, 20 AND 21 (APERCENTAGE MUSTBE COMPUTED FOR EACH LINE)                                                                  %
23. BUSINESS ALLOCATION PERCENTAGE (DIVIDELINE22 BYTHE NUMBER OF FACTORS) ENTER HERE AND ON PAGE 2, SCH C, COL2 (SEENOTEBELOW)                                                                     %

NOTE 3      IN DETERMINING THE BUSINESS ALLOCATION PERCENTAGE (LINE 23), AFACTOR SHALLBE EXCLUDED FROM THE COMPUTATION ONLY WHEN SUCH FACTOR DOES NOTEXISTANYWHERE
            INSOFAR AS THE TAXPAYER'S BUSINESS OPERATION IS CONCERNED, IN SUCH CASES, THE SUM OF THE REMAINING PERCENTAGES SHALLBE DIVIDED BYTHE NUMBER OF FACTORS
            ACTUALLY USED.

IN THE CASE OF ATAXPAYER AUTHORIZED BYTHE INCOME TAX ADMINISTRATOR TO USE ONE OF THE SPECIALFORMULAE, ATTACH AN EXPLANATION AND USE THE LINES PROVIDED BELOW:

a. NUMERATOR                                                                                   c. PERCENTAGE (a. DIVIDED b.) ENTER HERE AND ON PAGE 1, LINE 8

b. DENOMINATOR                                                                                 d. DATE OF ADMINISTRATOR'S APPROVALLETTER






                                                                                          PAGE 2