Tax & Accounting Blog

ONESOURCE Income Tax – State Tax Tip #4

US Income Tax Compliance September 15, 2011

Workpaper of the Week: State Factor Reconciliation 

Reconcile factor information from ONESOURCE Income Tax – State Allocation and Apportionment to the appropriate lines of the federal return, for both separate and combined/consolidated returns. This gives you an easy check that your factor data is complete, and provides the roadmap between factors and the federal return that most state auditors require.

o Provides a reconciliation between the data entered into the State Allocation and Apportionment workpapers and the appropriate lines on the federal return
o User maps their categories to the federal return
o Workpaper displays any variances between the two
o User can then provide an explanation(s) for the variance
o Users will no longer need to maintain the Excel spreadsheets they are currently using to do this