All eligible corporations that want to be taxed as s-corporations in New York are required to make...

Question

All eligible corporations that want to be taxed as s-corporations in New York are required to make the s-corporation election on Form CT-6. 2. A NY domestic corporation will be subject to the NY franchise tax if it maintains an office in NY. 3. Income, loss and deductions received by C-corporation flows through to its shareholders on an annual basis. 4. A NY domestic corporation which satisfies the requirements of PL XXXXXXXXXX, will not be subject to NY income tax. 5. Under PL 86-272, an out-of-state seller is not considered engaged in business within a state if sales or solicitation in that State are made on behalf of seller by independent contractor or the independent contractor maintains an office in the state through which the independent contractor sells and solicits orders for out-of-state sellers. 6. To establish nexus, and thus subject Foreign corporations to income tax, NY needs to show that the activities of the corporation and the imposition of the income tax satisfies both the due process clause and the equal protection clause of the US constitution 7. New York imposes a corporate franchise tax on all domestic corporations which are incorporated in the state and on foreign corporations for (1) “doing business”, (2) employing capital in NY, (3) owning or leasing property in NY, (4) maintaining an office in NY or (5), satisfies the economic nexus requirement. 8. Rents, royalties, interest, dividends, and charitable contributions are all examples of separately stated items of income and deductions. 9. The worldwide income from a foreign corporation that solely owns a warehouse in New York, but does no business in New York, is subject to New York franchise tax.
	
Document Preview: NAME: _______________________

STATE AND LOCAL TAXATION ASSIGNMENT 
 
Instructions: Please refer to my blackboard post for instructions. Good luck! 
 
1. All eligible corporations that want to be taxed as s-corporations in New  
York are required to make the s-corporation election on Form CT-6.

2. A NY domestic corporation will be subject to the NY franchise tax if 
 
it maintains an office in NY.

3. Income, loss and deductions received by C-corporation flows through 
 
to its shareholders on an annual basis.

4. A NY domestic corporation which satisfies the requirements of PL 86- 
272, will not be subject to NY income tax.

5. Under PL 86-272, an out-of-state seller is not considered engaged in  
business within a state if sales or solicitation in that State are made on 
 
behalf of seller by independent contractor or the independent 
contractor maintains an office in the state through which the 
independent contractor sells and solicits orders for out-of-state sellers.  
 
6. To establish nexus, and thus subject Foreign corporations to income  
tax, NY needs to show that the activities of the corporation and the 
 
imposition of the income tax satisfies both the due process clause and 
 
the equal protection clause of the US constitution  
 
7. New York imposes a corporate franchise tax on all domestic  
corporations which are incorporated in the state and on foreign 
corporations for (1) “doing business”, (2) employing capital in NY, (3) 
owning or leasing property in NY, (4) maintaining an office in NY or 
(5), satisfies the economic nexus requirement. 
 
8. Rents, royalties, interest, dividends, and charitable contributions are  
all examples of separately stated items of income and deductions.

9. The worldwide income from a foreign corporation that solely owns a  
warehouse in New York, but does no business in New York, is subject 
to New York franchise tax.10. The NY corporation franchise tax is computed using the business ...

Robert · Accepted Answer

NAME: _______________________  
STATE AND LOCAL TAXATION ASSIGNMENT  
Instructions: Please refer to my blackboard post for instructions. Good luck!  
1. All eligible corporations that want to be taxed as s-corporations in New York are required to make the 
s-corporation election on Form CT-6.   _____True______ 
2. A NY domestic corporation will be subject to the NY franchise tax if it maintains an office in NY. 
_____True______  
3. Income, loss and deductions received by C-corporation flows through to its shareholders on an annual 
basis.  _______False_______  
4. A NY domestic corporation which satisfies the requirements of PL 86- 272, will not be subject to NY 
income tax.  ______True______   
5. Under PL 86-272, an out-of-state seller is not considered engaged in business within a state if sales or 
solicitation in that State are made on behalf of seller by independent contractor or the independent 
contractor maintains an office in the state through which the independent contractor sells and solicits 
orders for out-of-state sellers. _____True_____ 
6. To establish nexus, and thus subject Foreign corporations to income tax, NY needs to show that the 
activities of the corporation and the imposition of the income tax satisfies both the due process clause 
and the equal protection clause of the US constitution.  _____True_____ 
7. New York imposes a corporate franchise tax on all domestic corporations which are incorporated in 
the state and on foreign corporations for (1) “doing business”, (2) employing capital in NY, (3) owning or 
leasing property in NY, (4) maintaining an office in NY or (5), satisfies the economic nexus requirement. 
_____True_____  
8. Rents, royalties, interest, dividends, and charitable contributions are all examples of separately stated 
items of income and deductions.  ____True_____ 
9. The worldwide income from a foreign corporation that solely owns a warehouse in New York, but 
does no business in New York, is subject to New York franchise tax.  _____False_____ 
10. The NY corporation franchise tax is computed using the business income base. ____False____ 
11. An S-corporation shareholder has a $15,000 basis in his S-corporation stock. The shareholder 
receives a $20,000 flow through trade or business loss. The shareholder can deduct the entire $20,000 
loss on his income tax return. ____False____ 
12. Under the check-the-box regulations, a business can elect to be taxed as an LLC for federal income 
tax purposes. _____False_____  
13. ABC Corporation, an ongoing business taxed as a C-corporation, wants to be taxed as an s-
corporation. The c-corporation makes the s corporation election on June 30, 2013. The corporation will 
be taxed as a C-corporation for the entire 2013 tax year. ____False____  
14. A New York State corporation uses an independent contractor to make sales to its New York 
customers. By using an independent contractor, the corporation shields itself from franchise tax nexus. 
____False____ 
 15. ABC Corporation and 123 Corporation are organized in New Jersey. Both corporations are owned by 
the same shareholder. Both corporations have New York City receipts in excess of $1,000,

All eligible corporations that want to be taxed as s-corporations in New York are required to make the s-corporation election on Form CT-6. 2. A NY domestic corporation will be subject to the NY...

Solution

Answer To This Question Is Available To Download

Related Questions & Answers

Submit New Assignment