TAX 9866 Lecture Notes - Lecture 72: Internal Revenue Code
Document Summary
Consolidated lint inc. is organized in delaware with headquarters in new. The company had federal taxable income of ,000 in 2020 after deducting ,000 of new york taxes. ,000 of lint to new york customers and shipped ,000,000 to all customers around the world. New york has rolling conformity with the internal revenue code. B/c ny has rolling conformity, starting point is 600,000 of federal taxable income. We add in modifications: typically no ded for state/fed/foreign taxes: 100,000 has to be added back. 700k (total entire ny ni) * apportionment = 23,310: assuming a tax rate of 10% what is the new york tax. In 2020, consolidated lint inc. became concerned about an increasingly competitive market for lint. Seeking to diversify and increase corporate earnings, the. Company started to invent and build new jet engines for the air force at a new location in california.
