Several states have begun extending the economic nexus standard approved in Wayfair beyond sales tax, adopting economic nexus provisions for
corporate income taxes.
Advertisement
Topics
State & Local Tax (SALT)
Guidance issued on payments to charitable organizations
The IRS issued additional rules on the treatment of deductions for charitable contributions in lieu of state and local taxes, an area in which it has already issued final regulations and other guidance.
Practical implications of the Wayfair decision
Businesses can follow this six-step analysis to make
sure they cover their bases in complying with new remote-seller sales-and-use-tax responsibilities.
Amended California EITC: Fiscal impact and effects on taxpayers
This discussion summarizes both versions of the CalEITC and how the 2019 amendments affect the calculation and the credit’s desired effects.
US MNCs facing implications of economic (vs. physical) nexus
This item summarizes the complexities of a digitalized economy for MNCs and considers the
multifaceted implications to U.S. MNCs with respect to financial statements and tax reporting.
Wayfair’s impact on not-for-profit purchases and revenues
Not-for-profits that sell goods or services may find themselves needing to register for sales tax accounts in other states to remain in compliance.
Trust income: The Supreme Court’s narrow opinion on state nexus
The U.S. Supreme Court recently addressed the circumstances in which a state may levy income tax on a trust that has only minimal connection to the
state.
Analyzing the new Oregon corporate activity tax
The new Oregon corporate activity tax requires quarterly estimated tax payments beginning in April 2020.
Unclaimed property audit fallacies and myths
Raising revenue is increasingly taking primacy over
reuniting owners with their property in states’ enforcement of unclaimed property laws.
M&A considerations in light of Wayfair
Buyers and sellers must now consider how Wayfair affects M&A tax due-diligence efforts, purchase agreement indemnities, and navigating remediation
plans between the parties around prior-period exposures.
Supreme Court holds North Carolina cannot tax trust
The U.S. Supreme Court issued a unanimous decision holding that North Carolina’s attempt to tax a trust based solely on the residence of a beneficiary violates the Due Process Clause of the 14th Amendment.
SALT deduction cap rules finalized, safe harbor proposed
Here are details on the new rules that deny a federal tax deduction to taxpayers who donate to a state charitable fund and receive a state or local tax credit in return.
Passthrough entity taxes: The next workaround trend?
Plans adopted by some states sidestep the new federal Sec. 164(b)(6) limitation, which may not apply to income taxes imposed on a PTE.
Unintended consequences: Considerations for a marketplace seller
Marketplace sellers, especially smaller businesses with limited resources, may face unexpected liabilities and obligations.
New federal interest expense limitation meets old state related-party disallowance
The interplay between Sec. 163(j) and state expense disallowance leaves taxpayers in a position of having to make important decisions in a vacuum
of guidance.
IRS applies tax benefit rule to state and local tax refunds
The IRS issued guidance on the tax treatment of state and local refunds now that taxpayers are limited to a $10,000 deduction on their individual tax returns.
States’ treatment of GILTI and FDII: The good, the bad, and the ugly
Review the various approaches states use to account for the GILTI and FDII regimes introduced by the TCJA.
New York’s response to Wayfair: Storms on the horizon?
New York’s Notice N-19-1 provides some guidance to remote sellers doing business in New York, but several uncertainties remain.
West Virginia cannot exempt state law enforcement pensions and tax federal ones
The U.S. Supreme Court held that West Virginia cannot provide a tax exemption to state law enforcement retirees while denying that exemption to federal law enforcement retirees who performed similar jobs.
Can a state tax a trust based on the beneficiary’s residency?
The U.S. Supreme Court heard oral arguments in a case that will decide whether states can tax trusts based solely on the fact that a trust beneficiary lives in the state.
TAX PRACTICE MANAGEMENT
2025 tax software survey
AICPA members in tax practice assess how their return preparation software performed during tax season and offer insights into their procedures.
