S Corporation Income Tax Return Form

STATE OF HAWAII—DEPARTMENT OF TAXATION
2006 FORM N-35 S Corporation Income Tax Return

For calendar year 2006 or other tax year beginning and ending

PNT    INT

Print or type

Name

Dba or C/O

Address (number and street)

City or town, state, and ZIP Code

Federal Employer I.D. No.

Business Code No.

Date of federal election as an S corporation

Enter the number of Schedules NS attached to this return

INCOME

1a Gross receipts or sales $ b Less returns and allowances $ c Bal.

2 Cost of goods sold

3 Gross profit

4 Net gain or (loss) from Schedule D-1

5 Other income

6 Total income (loss)

DEDUCTIONS

7 Compensation of officers

8 Salaries and wages

9 Repairs and maintenance

10 Bad debts

11 Rents

12 Taxes and licenses

13 Interest

14a Depreciation from federal Form 4562

14b Less depreciation claimed elsewhere

14c Enter line 14a minus line 14b

15 Depletion

16 Advertising

17 Pension, profit-sharing, etc. plans

18 Employee benefit programs

19 Other deductions

20 Total deductions

21 Ordinary income (loss)

TAX & PAYMENTS

22a Excess net passive income tax

22b Tax from Schedule D

22c Number of N-4's attached

22d LIFO recapture tax

23a 2005 overpayment allowed as a credit

23b 2006 estimated tax payments from N-3

23c Payments with extension

23d Amount due on Form N-4's attached

24 Underpayment of estimated tax penalty

25 OVERPAYMENT

26 Amount overpaid to 2007 estimated tax

26a Refunded

27 TAX DUE

28 PAYMENT DUE

29 Amount paid with original return

30 BALANCE DUE

AMENDED RETURN ONLY

If you don't need Hawaii income tax forms mailed to you on your next year's return, check here to receive a preprinted label only

DECLARATION

Under penalties of perjury, I declare that I have examined this return and accompanying schedules and statements, and to the best of my knowledge and belief, it is true, correct, and complete.

PREPARER'S INFORMATION

Preparer's Signature

Preparer's Name

Firm's name

Address and ZIP Code

Date

Check if self-employed

Federal E.I. No.

Phone no.

Schedule A - Cost of Goods Sold

1 Inventory at beginning of year

2 Purchases

3 Cost of labor

4 Additional IRC section 263A costs

5 Other costs

6 Total

7 Inventory at end of year

8 Cost of goods sold

9a Check all methods used Cost as described in Treasury Regulations Lower of cost or market Other

9d LIFO closing inventory computed under LIFO

Schedule B - Other Information

1 Check method of accounting: Cash Accrual Other

2a Date of incorporation b Date business began in Hawaii

2c Under laws of

3 Principal business activity

4 Did the corporation own 50% or more voting stock of a domestic corporation? Yes No

5 Number of shareholders at end of year residents of Hawaii nonresidents of Hawaii

6 Was the corporation's election under S Corporation of Chapter 1 in effect for the current taxable year? Yes No

7 Did the corporation derive income from sources outside Hawaii? Yes No

8 Maintained computerized tax records? Yes No

9 Was the corporation in operation at the end of 2006? Yes No

10 How many months in 2006 was the corporation in operation?

11 Built-in gains tax details

Designation of Tax Matters Person

Name of designated TMP

Identifying number of TMP

Address of designated TMP

Schedule K - Shareholders' Share of Income, Credits, Deductions, etc.

1 Ordinary income (loss)

2 Net income (loss) from rental real estate activities

3a Gross income from other rental activities

3b Expenses from other rental activities

3c Net income (loss) from other rental activities

4a Interest income

4b Ordinary dividends

4c Royalty income

4d Net short-term capital gain (loss)

4e Net long-term capital gain (loss)

5 Net gain (loss) under IRC section 1231

6 Other income (loss)

7 Charitable contributions

8 IRC section 179 expense deduction

9 Deductions related to portfolio income

10 Other deductions

11a Interest expense on investment debts

11b(1) Investment interest included on lines 4a, 4b, 4c

11b(2) Investment expenses included on line 9

12a Fuel Tax Credit for Commercial Fishers

12b Total cost of property qualifying for Capital Goods Excise Tax Credit

12c Enterprise Zone Tax Credit

12d Low-Income Housing Tax Credit

12e Vocational Rehabilitation Referrals Credit

12f Motion Picture and Film Production Income Tax Credit

12g Motion Picture, Digital Media, and Film Production Income Tax Credit

12h Technology Infrastructure Renovation Tax Credit

12i High Technology Business Investment Tax Credit

12j Tax Credit for Research Activities

12k Hotel Construction and Remodeling Tax Credit

12l Qualified costs for the Drought Mitigating Water Storage Facility Tax Credit

12m Credit for School Repair and Maintenance

12n Ethanol Facility Tax Credit

12o Renewable Energy Technologies Income Tax Credit

12p Ko Olina Resort and Marina Attractions and Educational Facilities Tax Credit

12q Tax Credit for Flood Victims

12r Hawaii income tax withheld on Forms N-288

12s Total Hawaii income tax withheld on Forms N-4

12t Net income tax paid by S corporation to states not recognizing S status

Schedule K Continued

13 Total property distributions

14 Tax exempt interest income

15 Other tax exempt income

16 Non-deductible expenses

17 Other items not separately reported

18 Total dividend distributions paid from accumulated earnings and profits

19 Income (loss)

20 Corporate adjustments to income attributable to Hawaii

21 Interest penalty on early withdrawal of savings

Schedule N - List of Shareholders

1 Name and address

SSN or FEIN

No. of shares owned at all times during the year

State of residence

Year Sch. NS filed, if any

Amount of payment on Form N-4 attached

Schedule O - Apportionment of Income

1 Ordinary income (loss) from trade or business activities

2 Apportionment factor

3 Business income apportioned to Hawaii

4 Business income apportioned elsewhere

5 Do totals match other states? Yes No

If No, explain

Schedule P - Computation of Apportionment Factors

Property values, land, buildings, inventories, leasedhold interests, rented property, other property, total

1 Property values (average value of property above)

2 Property factor

3 Total compensation

4 Payroll factor

5 Total sales

6 Sales factor

7 Total of factors

8 Average of factors