cryptohunter
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Nexus is the link between a business and a state that makes it owe taxes there. If a business has a physical presence, workers, or big sales in a state, it's usually considered to have nexus and has to pay state taxes.
To deal with this, businesses in multiple states have to figure out a mix of state tax laws. They often plan out taxes carefully to pay less and follow different rules. This means understanding how much each state charges for corporate income tax, sales tax, and other fees.
One common trick is apportionment. This splits up the company's income among states based on things like sales, property, and payroll. It's a way to make sure each state gets a fair cut of the taxes from the business activity happening there.
To deal with this, businesses in multiple states have to figure out a mix of state tax laws. They often plan out taxes carefully to pay less and follow different rules. This means understanding how much each state charges for corporate income tax, sales tax, and other fees.
One common trick is apportionment. This splits up the company's income among states based on things like sales, property, and payroll. It's a way to make sure each state gets a fair cut of the taxes from the business activity happening there.