How COVID-19 Is Forcing States and Taxpayers to Re-Sweep the Minefield
Date: Thursday, August 13, 2020
12-1 p.m. PT
1-2 p.m. MT
2-3 p.m. CT
3-4 p.m. ET
Hosted By: Fredrikson & Byron’s Tax Litigation Group
Before COVID-19, state tax nexus rules were already in a period of dramatic change. With the Supreme Court’s decision in Wayfair, the nexus landscape dramatically changed and left many questions unanswered. What thresholds applied to whom? How would the thresholds be calculated? How did Wayfair impact income and franchise tax nexus, including Public Law 86-272 (which was already under scrutiny)? What other tax types were affected? Then, most of us were told to work from home and to not go into the office. Further, federal legislation dramatically reduced already strained state tax revenue sources. This session will evaluate how we got to the current state and will focus on challenges that taxpayers face when evaluating whether they have state tax nexus.
Objectives: At the end of this session, participants will be able to:
- understand the historical development of state nexus standards;
- appreciate the dramatic changes to those standards since 2018;
- determine a path for evaluating their state tax nexus considering changes that took place in response to the COVID-19 pandemic; and
- develop strategies for handling a nexus audit.
An on-demand recording of the program will be available after the live webcast.