State Income, Franchise & Gross Receipts Tax
Conducting business in a multistate environment can be challenging from many perspectives, but especially from the state and local tax perspective. Each state has the ability to impose taxes, and all of the states exercise that right. There are no bright-line limits to their ability to tax or to the amount of tax they can require. The only limitations to their ability to tax are the U.S. Constitution and the individual voters. That leads to many, many vagaries and complexities.
For many companies, a large percentage of their overall income tax liability is attributable to state and local income and gross receipts based taxes.
Andersen Tax takes a strategic approach to helping clients manage the complexities of state income, franchise and gross receipts tax. Our state and local tax (SALT) professionals work with business owners, finance professionals or tax department professionals to educate, advise and assist them in understanding and planning for the effects of operations on state income and gross receipts taxes. Additionally, our SALT professionals work with clients to recover overpaid income and gross receipts taxes, assist with the preparation of annual tax return obligations or other compliance, and identify and implement planning that impacts the overall state income tax posture of companies.
Some of the specific areas in which our SALT professionals can assist include:
- Nexus Studies: Determination of the jurisdictions where your company must file tax returns.
- Tax Amnesty/Voluntary Disclosures: Agreements with tax jurisdictions to give your company a means to settle past state and/or local tax exposures.
- Tax Recovery Reviews: Review of past filings to determine where your company may be paying more tax than is required.
- Apportionment: Determination of the proper manner in which to source sales, payroll and property to the various taxing jurisdictions.
- Tax Controversy: Help in resolving audits and negotiating with taxing jurisdictions.
- Accounting for Uncertain Tax Positions: Evaluation of uncertain tax return positions and related documentation to avert accuracy-related penalty.
- Accounting for Income Taxes: Computations of income tax provisions and tax accrual work papers.
- Business Structure Review and Planning: Determination of the proper entity choice for a business to reduce personal liability, protect assets and minimize tax.
- Multistate filings
- Unitary/combined/consolidated filings
- Identification of state adjustments
- Local tax filings
- Help with state/local estimated tax calculations and penalty avoidance
- Guidance on new state tax policy and legislation, and on the tax return impact of those changes
Andersen Tax takes a strategic approach to helping clients manage the complexities of state income, franchise and gross receipts tax.
Nevada, a Tax Haven No More: $1.1B Tax Increase Includes a New Tax on Business Receipts
District of Columbia Now Requires Unitary Combined Reporting
Pennsylvania Tax Law Changes Included in Fiscal 2014 State Budget