Indiana DOR Determines Taxpayer’s Adjusted Gross Income Taxability

The Indiana Department of Revenue (DOR) determined taxability of taxpayer’s adjusted gross income. Taxpayer, a corporation domiciled outside the United States is engaged in a toll manufacturing arrangement in a US partnership. Taxpayer sought guidance on how much Indiana adjusted gross income from their profit or loss from finished goods sales is includible for adjusted gross income tax purposes. The DOR responded that income from the sale of taxpayer’s finished goods should and any receipts from taxpayer’s apportionment factors can be excluded from the adjusted gross income. [Ind. Dep’t of Revenue, Revenue Ruling 2024-02CCP, 01/03/25]