81-03-05.4-04. Computation - Part II.

1. Any taxpayer that is filing as a member of a worldwide unitary group and claiming a foreign tax credit on its federal return shall compute its federal income tax deduction by multiplying the result of subsection 10 of section 81-03-05.4-03 by the federal income tax ratio. However, this subsection cannot be used if either or both North Dakota taxable income or income relating to federal income tax paid is less than zero.

2. Any taxpayer not described in subsection 1 shall compute its federal income tax deduction by multiplying the result of subsection 10 of section 81-03-05.4-03 by the apportionment factor.

History: Effective July 1, 1989; amended effective May 1, 1991. General Authority: NDCC 57-38-57 Law Implemented: NDCC 57-38-01.3