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State Taxation and Remote Work

Presented by:
Jared Walczak Jared Walczak

 

The pandemic has changed how we live and work, and for many, some of those changes may be permanent. But what are the tax implications of remote work?

In this session, we will delve into the tax implications of multistate living or working arrangements. We’ll look at what this means for tax withholding, where an individual might have liability, how credits for work performed in another state function, and what scenarios can yield actual double taxation. We will also examine the business side, identifying scenarios in which remote workers could trigger business tax liability in a state where a company previously lacked nexus.

Remote work is here to stay, but state tax codes aren’t ready for it. This session is about how states can remove impediments to remote work, what they can expect from a dramatically more mobile workforce—and how to respond to it.

Areas of Focus

  1. Multistate tax payment, withholding requirements, and credits for taxes paid to other states
  2. Convenience rules, trailing nexus, and the potential for double taxation
  3. Business nexus standards with a remote workforce
  4. Effects of a remote work culture on business and individual migration

Session Resources