The conflicting literature justifies another look at how state corporate income tax
can affect job creation.
(1) For the most part, however, this literature has addressed discrete aspects of federal policy, such as the deductibility of state and local taxes for purposes of the federal income tax, (2) federal legislation regarding the scope of state corporate income taxes
, (3) or federal limitations on the imposition of state sales taxes on internet and mail order transactions.(4) This article comes at the issue from a somewhat different perspective.
"The Incidence of Partial State Corporate Income Tax
," National Tax Journal, vol.
(50) Next, the direct applicability of Quill to state corporate income tax
nexus is addressed.
Using state-aggregated data from 1983 to 1996, we find that the state corporate income tax
burden on property has a significant negative effect on new capital expenditures by manufacturers, whereas the number of investment-related tax incentives available has a significant positive, though declining, influence on capital spending.
Organizations that meet the requirements for federal tax exemption can generally rely on that status to exempt their income from state corporate income tax
State corporate income tax
is generally based on a company's net income.
Furthermore, in addition to considering the direct impact of federal tax reform's key provisions on the state corporate income tax
base, taxpayers must also stay apprised of unique state-specific responses to federal tax reform.
Accordingly, a corporation that has New York State-sourced receipts in excess of $1 million will have nexus and be required to file a New York State corporate income tax
State Corporate Income Tax
: An Applied General Equilibrium Analysis, 55
Those companies would see an increase in the state corporate income tax
, currently 6.6 percent of profits.
(7) The court held that its activities should be viewed through the substantial in-state activities of its operating parent, imparting nexus in Maryland on the royalty company for state corporate income tax