Property Factor

Property Factor means:
a factor in an apportionment formula; a fraction whose numerator is the average value of an entity's real and tangible personal property owned and used, or rented and used, in a particular state during the tax year, and whose denominator is the average value of all the entity's real and tangible property, wherever located, that was owned or rented and used during the tax year. Most states use a three-factor apportionment formula that weighs sales, property, and payroll equally in order to apportion the total federal business income of an out-of-state entity so as to determine the taxes due the state.

See Payroll Tax in the U.S. Legal Encyclopedia and Payroll Tax in the World Legal Encyclopedia.