In today's business environment many companies have become involved in interstate commerce, offering their products and services to customers beyond their home state. As companies expand their businesses over state lines, either physically or over the internet, there is a strong likelihood that their state filing requirements have also expanded into these states.
"Nexus" for tax purposes is the amount or degree of business activity that must be present before a state can impose their taxing jurisdiction on a taxpayer. These levels are defined by state statutes and case law and vary from state to state. There are differing nexus standards for required filings in the areas of registrations, payroll, net worth, and sales, as well as franchise and income taxes.
A "Nexus Study" will identify whether the normal business activities of your company creates state tax filing requirements based on the various nexus standards. We can help you make the necessary assessments of your multi-state business activities.
Should you have any questions, please feel free to contact your trusted advisor at DiSanto Priest & Co.
401.921.2000
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