State Business Tax Preparation

“On top of all the other complexities is Public Law 86-272, which if applicable, may exempt your company from state income tax”

State business taxation is one of the most complicated areas of the tax law because each state may or may not have its own set of deductions, credits, exclusions or rebates that may or may not conform to the federal laws. There is also the complexity of understanding whether or not your business activities in a state create nexus for that state. On top of all the other complexities is Public Law 86-272, which if applicable, may exempt your business from state income tax.

But this doesn’t mean that other state taxes will not apply because Public Law 86-272 only applies to sales of tangible property. Business owners still have to understand how state and local taxing authorities impose taxes on your business. For example, personal property tax, franchise tax or maybe a gross receipts tax.

Here is what you can expect when you engage us to prepare your state tax returns . . .

• We will analyze the tax structure of the states you do business in to help you understand your state tax compliance requirements;
• We will assess the appropriateness of your accounting systems to capture the information necessary to meet your responsibilities for withholding, collecting and remitting state and local taxes; and
• We will inform you of any estimated tax payment requirements so that you can avoid state level penalties and interest where applicable.

For more information, please call us at (775) 828-5027 or send us an email.