Intangible expense paid to an affiliate must be reported as a add-back on Form FAE170 Schedule J and Form IE must be attached to the return regardless of whether or not the intangible expense deduction is being claimed for excise tax purposes. Failure to file Form IE may subject the taxpayer to additional tax, penalty, and interest.
Effective for tax years beginning on or after July 1, 2016 Form IE is used; forms IE-A and IE-N are no longer used. Approval notifications previously issued based on the filing of discontinued Form IE-A are not valid for tax years beginning on or after July 1, 2016.
Reference: Tenn. Code Ann. §§ 67-1-804(b)(2); 67-4-2004; 67-4-2006(b)(1)(K); 67-4-2006(b)(2)(N).