Saturday, May 3, 2008

I incorporated in California, but I do all my business in Idaho, and now live in Idaho.? -

Do i pay corporate tax in Idaho, or CA? I m confused

Both. Every California corporation must pay a certain minimum tax to the State of California. After that, however, income is allocated between the states based on a formula, combining the source of sales, property owned in each state, and employees in each state. You pay tax to each state based on your allocated income. If you do all of your business in Idaho (and have all your employees and property there), you will mostly pay Idaho taxes, with a relatively small amount payable to California.You might consider reincorporating in Idaho.

>>>

 

Home Posts RSS Comments RSS