Which of the Following Is Not a General Rule for Calculating

question 64

Multiple Choice

Which of the following is not a general rule for calculating the sales factor?

• A)Tangible personal property sales are sourced to the destination state.
• B)If the business does not have income tax nexus in the destination state, the sales are thrown back to the state where the goods were shipped from.
• C)Services are sourced to the destination state.
• D)Government sales are sourced to the state where they were shipped from.

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Definitions:

Proposed Rule

A suggested regulation or policy that is under consideration but has not yet been adopted or implemented.

Judicial Review

The power of courts to assess the constitutionality of legislative acts or governmental actions and to declare them void if they violate the constitution.

Statute

A formal written law enacted by a legislative body, at the national or state level.

Legislative Rules

Regulations established by a governing body to order society, enforceable by law.