The State Corporate Income Tax: A Synthesis of Recent Research

This paper surveys and synthesizes recent accounting research involving state-level taxation of corporate income. The article begins with a summary of how state corporate income taxation works, particularly the apportionment formula for multi-state corporations. There follows a survey of the types of questions and issues addressed by researchers in this area, and data sources and measurement issues. The review of the literature includes papers that explore state variation in tax regimes, and research involving the apportionment formula and the effects it has on economic factors and tax competition. The article concludes with suggestions for future research.