Passthrough entity tax (PTET) elections give partners and shareholders a workaround to the $10,000 deductibility limit for state and local taxes for individuals, but entities must reckon with their financial accounting implications while adapting to a wide variety of state PTET regimes.
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State & Local Tax (SALT)
State responses to federal changes to Sec. 174
With a number of states having decoupled from the new federal requirement for research and experimental expenditures to be capitalized, multistate businesses must survey potentially varied state deductibility.
A cautionary tale: Challenges for firms in Wayfair compliance
Lessons can be learned from an accounting malpractice lawsuit alleging failure to advise a client about Wayfair.
State filing one month after federal: AICPA resources for state CPA societies
The AICPA, state CPA societies, and other tax policy and advocacy organizations work to encourage states to make their return filing dates one month after those for corresponding federal returns.
A quick guide to disputing California tax assessments
It pays for taxpayers and their advisers to know how and when to respond when California sends unexpected tax-due or audit notices.
Massachusetts state tax implications for sales of PTE interests
When the sale of an interest in a PTE is contemplated, planning for state sourcing and taxability of the gain should both be considered so the owners avoid a large — and sometimes unexpected — state income tax liability.
Update on states moving ahead with PTETs
States continue to move ahead with implementing new passthrough entity taxes as a workaround to the $10,000 cap on the federal deduction of state and local taxes.
Multistate businesses: What to do when state tax apportionment rules are unfair
Taxpayers may request an alternative method if they believe standard apportionment is not equitable in their situation.
South Dakota v. Wayfair — five years later
The expected and unexpected tax impacts of the landmark Supreme Court decision have increased the complexity of sales tax compliance for taxpayers.
Taxing marketplace facilitators: Sourcing issues
This items discusses how various types of revenue earned by marketplace facilitators may be sourced under state laws and regulations.
State tax considerations for financial institutions
This item identifies key state and local tax considerations financial institutions should timely review to be compliant and avoid traps for the unwary.
Personal income tax: The other-state tax credit
This item focuses on how states classify certain business taxes for these other-state tax credit purposes, using recent California developments to illustrate how states may analyze this issue.
Consequences of the MTC’s new interpretation of P.L. 86-272
Although the MTC’s revised interpretation will greatly restrict protections from state income taxes for some taxpayers, it could also present them with planning opportunities.
PTE deduction: Timing issues for accrual-method taxpayers
taxpayers and practitioners face uncertainty regarding the timing of the deduction provided for in Notice 2020-75.
Proven digital strategies for sales and use tax audits
Businesses must increasingly depend on big data, sampling, and artificial intelligence tools to anticipate and prepare for audits from cash-strapped state and local governments.
Significant state conformity issues for corporate taxpayers
This item reviews the most significant provisions of the TCJA and CARES Act affecting state corporate tax regimes and discusses state conformity issues that should be addressed by corporate taxpayers.
Continued challenges involving teleworking employees: The new normal
Complications of teleworking continue to arise, with each state making its own tax rules.
Cryptoasset issues in state and local taxation
This item highlights a few issues taxpayers should consider in income taxation, sales taxation, and unclaimed property/escheat reporting.
States’ reactions to MTC’s application of P.L. 86-272 to internet sales
The Multistate Tax Commission’s recent revision of its interpretation of P.L. 86-272 and corresponding state positions require remote sellers to reexamine their income tax nexus.
Sourcing Sec. 751(a) gain from nonresident’s sale of California partnership interest
Tax practitioners should be aware of the The California Franchise Tax Board’s two-step approach to transactions involving Sec. 751 gain.
PRACTICE MANAGEMENT
2026 tax software survey
CPAs rate their return preparation software’s performance during this year’s tax season.
