A nonresident taxpayer operates a business in Oregon and California. The business is headquartered in Oregon, but does a significant amount of its business in California. For the current year, it's gross business income is $$3,750,000.$ Of that value, $$1,750,000$ is within the bounds of the State of California. How much of the income is subject to tax in California using what information has been provided?

$$3,750,000$

$$2,000,000$

$$1,750,000$

We cannot tell without more information, because this calculation must be allocated under three$-$factor apportionment rules and needs payroll information, sales factor, and property information.

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