Nebraska Statutes 77-2734.10. Income tax; adjustment of factors
The factors computed pursuant to sections 77-2734.05 to 77-2734.15 shall be adjusted in the following situations:
Terms Used In Nebraska Statutes 77-2734.10
- Business: means any activity engaged in by any person or caused to be engaged in by him or her with the object of gain, benefit, or advantage, either direct or indirect. See Nebraska Statutes 77-2701.07
- Property: means all tangible and intangible property that is subject to tax under subsection (1) of section 77-2703 and all rights, licenses, and franchises that are subject to tax under such subsection. See Nebraska Statutes 77-2701.27
- Sale: means any transfer of title or possession or segregation in contemplation of transfer of title or possession, exchange, barter, lease, or rental, conditional or otherwise, in any manner or by any means, of property for a consideration or the provision of service for a consideration. See Nebraska Statutes 77-2701.33
- Sales: means all gross receipts of the taxpayer, except:
(a) Income from discharge of indebtedness. See Nebraska Statutes 77-2734.04
(1) The sales factor shall include the income from intangibles such as interest, royalties, or dividends and the net income from gains on the sale of intangibles;
(2) Except as provided in subdivision (1) of this section, the factors shall not include in the denominator any amount that cannot be assigned to a numerator because of the inability to reasonably identify the location of an income-producing activity;
(3) The factors shall not include any amount that was eliminated as an intercompany transaction;
(4) The factors shall not include any property, payroll, or sales that are a part of the production of income that is not subject to apportionment;
(5) The property factor shall include the intangible drilling costs incurred on property that is owned or rented and used during the tax period; and
(6) The property factor of a corporation or unitary business engaged in the exploration and extraction of natural resources shall include undeveloped mineral leases and royalty payments on producing leases, except that those mineral leases determined not suitable for production shall not be included in the property factor.