Which of the following regarding the state tax base is incorrect?
A)It is computed by making adjustments to federal taxable income.
B)It is divided into business and nonbusiness income.
C)It is a necessary step in the state income tax process.
D)It applies only to interstate businesses.

Question

Quizplus · Accepted Answer

The statement "It applies only to interstate businesses" is incorrect. State tax base applies to all businesses operating within the state, whether they are interstate or intrastate businesses.

Which of the Following Regarding the State Tax Base Is