COVID-19: State and Local Tax Implications – Parts 2 and 3: Nexus/Withholding and CARES Act Guidance|
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It has been almost a month since our original article on the SALT implications of COVID-19 was published on our Aprio’s COVID-19 Advisor site. That article addressed several high-level SALT considerations and how they may be impacted by the effects of COVID-19 on businesses and their operations. Those topics included state tax filing and payment relief as well as nexus, apportionment and payroll withholding issues.
Part 2 examines the issues of nexus and income tax withholding in more detail as several states have published guidance in this area.
Part 3 examines the potential state income tax implications of the CARES Act, which was signed into law after our original article was published.
As a quick reminder, if you are looking for a detailed, up-to-date resource containing announcements from each state as it pertains to specific tax filing/payment extensions as well as other tax-related information (including some counties and cities providing local tax relief), I recommend the AICPA’s “State Tax Filing Guidance for Coronavirus Pandemic.” This information is changing daily and this resource is updated almost as quickly.