53.1k views
4 votes
Delicious Dave's has income tax nexus in each of the states.
a) True
b) False

User Fex
by
7.8k points

1 Answer

2 votes

Final answer:

The question is about whether Delicious Dave's has income tax nexus in each state and the answer depends on the physical presence of the business in each state and the specific state laws.

Step-by-step explanation:

The question is asking whether Delicious Dave's has income tax nexus in each of the states. Income tax nexus refers to the connection or presence a business has in a state that requires it to pay income taxes in that state. To determine the answer, we would need information about Delicious Dave's activities in each state. If Delicious Dave's has a physical presence, such as a store or office, in each state, then it is likely that they have income tax nexus in each state. If they only have an online presence or do business through sales representatives in each state, it may depend on the specific state laws. In general, it is common for businesses to have income tax nexus in states where they have a physical presence.

For example, if Delicious Dave's has a restaurant or store in State A, and another restaurant or store in State B, they would likely have income tax nexus in both states. However, if they only sell products online and ship them to customers in State A and State B, but do not have any physical presence in those states, they may not have income tax nexus. Income tax nexus can vary depending on the specific laws and regulations of each state.

User Ottodidakt
by
8.1k points