Multi-State Tax Issues for Payroll 2023

Employers face considerable compliance challenges when their employees cross state lines for work-related activities. Multi-state employment issues commonly arise for businesses with operations in multiple states. However, individual employees can also trigger compliance concerns when they work or reside in different states, telecommute across state lines, or relocate.

Payroll compliance is a critical aspect, involving the identification of states where the business must collect and remit income taxes, along with adherence to each state's specific tax collection, payment, and reporting rules. Additionally, there are unique regulations to determine the state responsible for receiving unemployment taxes for a particular employee. Beyond payroll, a significant non-payroll issue emerges concerning whether the employment establishes a business presence (nexus) in a specific state, potentially subjecting the employer to that state's income, franchise, sales, use taxes, or other state business taxes, along with related apportionment considerations.

In this dynamic and comprehensive webinar, participants will gain vital insights and valuable resources to recognize and effectively address multi-state payroll tax issues.

A critical non-payroll concern revolves around "nexus" or establishing a business presence within a state, potentially subjecting the employer to various state business taxes and related apportionment issues.

By attending this webinar, you will gain essential insights and practical knowledge to effectively handle multi-state payroll tax issues and safeguard your business from potential compliance risks.

• Understand nexus and how employment within a state may create nexus for an employer
• Understand the payroll tax and compliance implications of conducting business within a state
• Determine which state(s) to withhold for when employees work in multiple states under the general rule
• Determine which state(s) to withhold for when states that have reciprocal agreements or no state income tax are involved
• Know when state or local withholding certificates or certificates of non-residency are required
• Determine which state is the state unemployment tax state when an employee works in more than one state
• Understand that state rules differ with regard to taxable income, withholding thresholds, wage reporting, and fringe benefits

• Reciprocal agreements and how they affect state income tax withholding
• Employee domicile and tax residency
• State and local withholding certificates - when the federal W-4 isn't enough
• How different states deal differently with supplemental wages
• How to handle state unemployment when employees work in several states
• SUTA dumping - what it is and how to avoid this penalty trap
• Which states get withholding tax proceeds when employees work in multiple states
• Fringe benefit taxation - which states differ from federal rules
• The payroll tax implications of conducting business in a state
• How to determine the states for which you must withhold tax
• Special rules for military spouses
• Telecommuting

• Payroll Supervisors and Personnel
• Payroll Consultants
• Payroll Service Providers
• Public Accountants
• Internal Auditors
• Tax Compliance Officers
• Enrolled Agents
• Employee Benefits Administrators
• Officers and Managers with Payroll or Tax Compliance Oversight