Business Tax Quarterly Suggested Readings - Fall 2018
September 21, 2018
State of Wayfair: Bill Before Congress Sets Limits on Collection
In the aftermath of the Wayfair ruling, few are expecting Congress to wade back into the waters of absolutely allowing states to compel remote sellers to collect and remit states sales and use taxes—or to definitively prevent them from doing so. But refining how they do it might be another matter.
Seven states are imposing the new rules on out-of-state online and catalog sellers, and ten will start Oct. 1. Two others will require collections or reporting later this year, and four more will do so starting Jan. 1, 2019.
State of Wayfair: Massachusetts Looking Back
Massachusetts appears to be the only remaining state that intends to pursue retroactive enforcement of its collect-and-remit tax requirement on remote sellers in the wake of the groundbreaking U.S. Supreme Court ruling in South Dakota v. Wayfair Inc.
State Response to TCJA
The back-up plans are still risky—each with their downsides—and it’s possible the IRS could ultimately block them, too. For some taxpayers, though, the tax pain is too great not to at least try.
GOP leaders decided to proceed with the legislation even though it puts their members in high-tax states in the tricky spot of either supporting a new cap on state and local tax deductions, or voting against tax cuts backed by their party.
Small-business owners might be able to avoid a new federal limit on state and local tax deductions after the Internal Revenue Service said rules it recently released to prevent efforts in California and other states to circumvent the cap apply only to individuals.
Among the categories used in the rankings: how easy it is to start a business and hire people, along with taxes, training, licensing, labor regulations, and government websites. The survey also ranked the top 57 cities in the U.S.
Business Tax Quarterly - Fall 2018