Chris asks…Do corporations have to pay fed/state tax when they move money around internally?I understand that some large companies keep seperate accounting ledgers for their various divisions, affiliates, subsidiaries, ect. And that when one part of the company requires the services of another part, the 'client' part bills the 'vendor' part. Does the encompassing company have to pay taxes on this transaction?
Whoops, I meant 'vendor' part bills the 'client' part.admin answers:On a federal
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