Rulings of the multistate tax commission

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Reference no: EM135041

For your state and one of its neighbors, determine the following. Place your data in a chart and e-mail your findings to your professor.

a. To what extent does each state follow the rulings of the Multistate Tax Commission?

b. What is each state's apportionment formula, with factors and weightings?

c. Does the state adopt pertinent changes to the Internal Revenue Code? As of what date?

d. Has the state joined the Streamlined Sales Tax Project? Which of the project's rules has the state adopted? What is the effective date?

e. Is the tax-effectiveness of a passive investment company limited in some way? Has the state adopted the Geoffrey approach to the taxation of income from intangibles? Explain.

f. Does the state apply entity-level income taxes for S corporations, partnerships, and LLCs? If so, what are the terms of those taxes?

g. What are the requirements for the occasional-sale rule as an exception to the sales/ use tax? Who can use this rule?

h. Describe any exemptions from the sales/use tax base that are allowed for transactions involving groceries, school clothing and supplies, religious goods, and legal services.

i. What is the discount allowed, if any, when a vendor remits sales/use tax to the state in a timely manner?

j. Does the state levy a "minimum tax" or "alternative minimum tax"? If so, what are the terms and rates for the tax?

Reference no: EM135041

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