An Act relating to the Multistate Tax Compact; relating to apportionment of income to the state; relating to highly digitized businesses subject to the Alaska Net Income Tax Act; and providing for an effective date.

SB 113 would enact the Multistate Tax Compact into Alaska law, creating a standardized system for taxing businesses operating across multiple states. The bill directly affects multistate businesses, particularly highly digitized companies (such as online service providers), by changing how their income is apportioned for Alaska tax purposes. Key provisions include adopting the compact's rules to prevent double taxation and simplify tax filings for businesses operating in multiple jurisdictions. The bill also includes specific adjustments for highly digitized businesses under Alaska's Net Income Tax Act, aligning their tax treatment with the compact's framework.