The income tax laws for a particular state depend on the business entity’s organizational status. Answer the following four questions using the web site for a particular department of state (for example, Florida’s information can be found at dos.state.fl.us/).
a. What business entity forms are permitted in the state selected?
b. Must a business that uses one of the basic business forms (for example, corporation, partnership, or LLC) organized and operating in the state register with a state agency? If so, which agency?
c. Must a business that uses one of the basic business forms that is organized outside of the state (for example, Georgia) but which operates in the state (for example, Florida) register with an agency in the state of organization? In the state in which it operates? In both states?
d. Does the state selected impose an income tax on corporations organized in the state? On foreign corporations (corporations formed outside of the state selected) who conduct part or all of their business in their home state and part in the state selected?