17 N.C. Admin Code 05F .0401 - Adjustments to State Net Income

Adjustments the Secretary may make to intercompany transactions that are found to lack economic substance or not to be at fair market value include the following:

(1)           Disallowing deductions in whole or in part;

(2)           Attributing income to related corporations;

(3)           Disregarding transactions; and

(4)           Reclassifying income as apportionable or allocable.