Filing corporate tax returns in California is a complex procedure that could require the preparation of a combined report for members of a corporate group filing returns there. For each corporate entity doing business in California, questions of nexus, apportionment formulas and splitting off from the federal consolidated return arise. CCH’s new California Tax Analysis: Corporation Tax devotes an entire chapter to the mechanics of the combined report and who should and shouldn’t be included on one. The advice in this chapter isn’t available anywhere else and it far exceeds the guidance provided by the Franchise Tax Board in its instructions for preparing the combined report.
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This story is from the CCH’s monthly Focus on Tax newsletter, which provides advise and guidance on federal and state tax issues for tax and accounting professionals.
Read this article from CCH’s Journal of Taxation of Financial Products.