Competition between states predicated, for instance, on tax bases versus rates, is probably not, on balance, beneficial.
The instability of sub-national tax systems is undermining the national economy, so too the transaction costs of multiple inconsistent sub-national tax bases and the dramatically inequitable spending cuts that fiscal volatility results in.
As the applicability of the SALT deduction has broadened in terms of taxpayers, so too has the kind of taxes to which it applied as the states and localities diversified their tax bases.
18) As to stability, the property tax base is the most stable tax base.
010, explaining which state taxes have to be added back in computing the corporate income tax base.
97, which identifies specific state taxes that have to be added back to Federal taxable income in computing the corporate tax base.
During 2005, a number of states decoupled from this Federal deduction, thus requiring taxpayers to add back the deduction in computing the state tax base.
The Consultation Document acknowledges that IAS accounts would serve, at most, as a starting point for arriving at a tax base and not the tax base itself.
One example highlighting the importance of such an approach would be using consolidated accounts after the elimination of intercompany transactions as a common tax base.
Ultimately, the process should be one that has the greatest likelihood of creating a set of rules regarding a common tax base that will be consistently applied.
It is unlikely that these issues will disappear even if a common tax base is introduced.
There was a marked difference in the components of the franchise tax base
for domestic and foreign corporations.