State Tax Issues of 2020 Fall Webinar Series (Currently Unavailable)

This 2-hour webinar will cover high-points of Governor Cuomo’s 2020 – 2021 New York budget bill, including New York’s decision to decouple from the federal Coronavirus Aid, Relief, and Economic Security (“CARES”) Act, and also discuss new and proposed legislation being considered for the 2021 – 2022 budget bill to stem the fallout from Covid-19’s impact on New York. We will also discuss and review Covid-19’s impact on New York residency issues, including changing domiciles during and after the Covid-19 crisis and monitoring statutory residency issues in New York and other states.

Much has changed over the past two and a half years with respect to sales and use tax compliance. This presentation will review the impact the Wayfair decision has had on sales and use tax compliance, and provide a review of recent NY case law, administrative rulings and enforcement initiatives.

Due to the COVID-19 pandemic, millions of people have been telecommuting from their home state or from another location where they have decided to shelter in place. Allowing employees to telecommute from states in which they do not normally work can create a host of issues for multistate companies, but the two biggest tax issues relate to nexus and income apportionment. Will the presence of an employee working from home create taxable nexus for the employer in that state? How should the business apportion and allocate income between its home state and the state in which the remote employee provides his or her services? Is it possible that states could have contradictory rules, creating a double tax situations? (Spoiler alert: yes!).

As a result of COVID, employees have fled their traditional workplaces, individuals are rethinking where they want to live, and employers have started rethinking their office-based workplace models. All of these changes impact a state’s authority to impose tax on an individual’s income and to require a company to withhold tax. This webinar examines state rules for taxing nonresidents and how those rules have changed due to the pandemic. We examine unique rules, like the convenience rule, and state-specific rules for taxing deferred compensation, and how these rules can lead to double taxation. We will also look at new and existing guidance regarding an employer’s obligation to withhold state taxes on an employee’s compensation.