State Tax Issues for Service Businesses (Currently Unavailable)

Author: Timothy Noonan

This two-hour CPE focuses on the special state tax issues encountered by service businesses and suggests compliance and planning strategies for dealing with various service-related situations.

In recent years, the growth of the service sector in our economy, combined with the expansion of both sales tax and income tax bases, has imposed an increasing burden on businesses providing services. In a straightforward and easy-to-understand manner, highly regarded state tax practitioner Timothy P. Noonan will help you navigate the key state tax issues and challenges faced by this huge business sector. Mr. Noonan, author of the "Noonan's Notes" in Tax Analysts’ Tax Notes State and a frequent contributor to CCH Webinars, will help you understand the pitfalls and opportunities that businesses face when selling and providing services in a multistate environment.

Publication Date: August 2020

Designed For
Service business tax and accounting staff responsible for state tax compliance and planning; public practice CPAs, EAs, tax attorneys and other business and financial advisors working with business clients on state tax compliance and planning

Topics Covered

• Nexus Issues
• Wayfair for sales tax
• Economic nexus for income tax
• Income Tax Stuff
• Apportionment issues and Market Sourcing
• Personal income tax issues on owners and employees
• Payroll withholding
• Sales tax issues and taxable services
• COVID”19 Impact on SALT Issues

Learning Objectives

• Recognize how to gain a practical understanding of the key unique state tax issues for service businesses
• Identify which activities create nexus for service businesses
• Identify steps to take and opportunities to pursue to reduce state tax liabilities for service businesses
• Recognize reasons for driving the move to market-based sourcing
• Differentiate which state's sourcing method is considered to be where the benefit is received
• Identify a general rule regarding sales tax imposition
• Differentiate apportionment methods
• Recognize which type of services is typically subject to tax

Level
Intermediate

Instructional Method
Self-Study

NASBA Field of Study
Taxes (2 hours)

Program Prerequisites
Basic understanding of state business taxes

Advance Preparation
None