Say there is a state bill for state Pink that imposes tax for out of state corporations having presence in state Pink. Company X is a out of state corporation and will only be taxed if they are viewed as having presence in the state pink. 

We find out company X does not have physical presence in state pink but under the Wayfair case, X Corporation has " presence" because they made 2.5 mill in sales tax in state pink. In the Wayfair case, if you make 100k or more in sales tax you have presence in the state. I assume they have presence because they also earned income within state pink.

In the bill this is written: All companies in State Pink, All companies outside of state pink that has physical presence in state pink or who earn income within state pink are subject to a tax.

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In the bill it also includes:

" Companies meeting these criteria are subject to tax for the next 8 years. "

-------------------------------------------------------------------------------- Question:

According to, " Companies meeting these criteria are subject to tax for the next 8 years. ", will company x have to be subject to this tax for 8 years if they meet the criteria? ( According to my notes I think they meet the criteria) And can you explain why they will have to pay the tax for 8 years or why they wont have to pay the tax for 8 year?

Answer rating: 100% (QA)

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