Schedule M-3 (Form 1120-F) Template

Use this template to reconcile financial net income with taxable income for Form 1120-F.

By using this template, you agree to our Template Terms of Use.

Why use a foreign corporation net income reconciliation form?

Organize income statement details, book-to-tax differences, and totals
for foreign corporation reporting.

Reconcile statements

Connect income statement net income with taxable income reported on the return.
Separate differences

Capture temporary, permanent, and allocation differences for income and deduction items.
Support attachments

Identify lines that require statements for restatements, adjustments, or special items.

This template covers the financial information and reconciliation lines used in Schedule M-3 for Form 1120-F.

Financial information
Captures income statement sources, restatements, stock trading status, and adjustments.
Income statement source
Identifies which audited, worldwide, or book-based income statement is used.
Income reconciliation
Lists income items such as receipts, dividends, interest, rent, royalties, and pass-through income.
Difference columns
Separates income statement amounts, temporary differences, permanent differences, and return amounts.
Expense reconciliation
Covers deduction items such as meals, penalties, compensation, amortization, and interest.
Final reconciliation totals
Combines income and deduction items into the reconciliation totals required by the form.