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intangible property

   Also found in: Legal, Wikipedia 0.01 sec.
intangible property

Something that is nonphysical, noncurrent, and exists only in connection with something else. Business goodwill is intangible property—it does not exist by itself; it cannot be seen,touched,smelled,or heard; and it cannot be sold separately from something else,because even the goodwill built up in a particular business name cannot be sold separately from the name. Intangible property is usually exempt from property taxes.



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Just about any property--perhaps even intangible property such as software--that a state may treat as tangible can create nexus.
The presence of intangible property owned by out- of-state franchisors has led many states to tax the royalty payments paid by in-state franchisees to their out-of-state franchisor.
 
 
 
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