There are significant compliance issues for employers when employees cross state lines in the course of employment. Frequently, multi-state employment issues arise when the employer has business locations in more than one state. However, issues also arise when individual employees perform services in more than one state, live in one state, and work in another, move from one state to another, or telecommute across state lines. Compliance issues directly related to payroll include identification of the states for which the business is liable for the collection and payment of income tax, and compliance with the rules for each state regarding tax collection, payment, and reporting. In addition, special rules are used to establish a state that is to receive the unemployment tax for a particular employee. A very significant non-payroll issue is whether the employment creates nexus, i.e. a business presence, within a particular state and whether the employer is subject to that state’s income, franchise, sales, and use, or other state business taxes imposed by the state and the related apportionment issues
Session Highlights:
To Understand nexus and how employment within a state may create nexus for an employer
To Understand the payroll tax and compliance implications of conducting business within a state
To Determine which state(s) to withhold for when employees work in multiple states under the general rule
To Determine which state(s) to withhold for when states that have reciprocal agreements or no state income tax are involved
To Know when state or local withholding certificates or certificates of non-residency are required
To Determine which state is the state unemployment tax state when an employee works in more than one state
To Understand that state rules differ with regard to taxable income, withholding thresholds, wage reporting, and fringe benefits
To learn how to avoid failure to withhold penalties.
Why You Should Attend:
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.
Who Should Attend:
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
Company/Business Owners
Managers/Supervisors
Public Agency Managers
Audit and Compliance Personnel /Risk Managers
*You may ask your Question directly to our expert during the Q&A session.
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Patrick Haggerty
Patrick Haggerty is a tax practitioner, author, and educator. His work experience includes non-profit organization management, banking, manufacturing accounting, and tax practice. He began teaching accounting at the college level in 1988. He is licensed as an Enrolled Agent by the U. S. Treasury to represent taxpayers at all administrative levels of the IRS and is a Certified Management Accountant. He has written numerous articles and a monthly question and answer column for payroll publications. In addition, he regularly develops and presents webinars and presentations on a variety of topics including Payroll tax issues, FLSA compliance, information returns, and accounting.
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Edupliance is recognized by SHRM to offer Professional Development Credits (PDCs) for the SHRM-CPSM or SHRM-SCPSM. This program is valid for 1.5 PDCs for the SHRM-CPSM or SHRM-SCPSM. For more information about certification or recertification, please visit www.shrmcertification.org