Complete the following chart by indicating whether each item is true or false. Explain your answers by referencing the overlap of rules appearing in Federal and most state income tax laws.

True or False tem Most of the states start with Federal taxable income in computing state taxable income (i.e, taxable income is "piggybacked" with the Federal amount) a. b. The states use a wide variety of rules to compute corporate taxable income; us, there is no "typical" state income tax computation State rules as to which entities can join in a match those of Federal law. The corporate income tax systems of most states can be described as having progressive rate structures. A typical state income tax credit would equal 10% of the costs incurred to purchase and install solar energy panels for an existing factory. c. d. e.