News & Analysis as of

State Taxes Remote Working Coronavirus/COVID-19

Husch Blackwell LLP

Alabama Enacts 30-Day Exemption to Imposition of Individual Income Tax

Husch Blackwell LLP on

In the wake of the COVID-19 pandemic and increased remote work, multistate income tax and payroll tax withholding responsibilities have received heightened consideration nationwide. Employers keen on retaining and attracting...more

Rivkin Radler LLP

Employer to Nonresident Employee: “You Cannot Work in New York”; New York to Employee: “We Will Tax You Anyway”

Rivkin Radler LLP on

You are probably aware that many employers are discarding the fully flexible, remote work policies that were forced upon them – as “nonessential” businesses – during the COVID-19 pandemic[i] and which they retained as an...more

Rivkin Radler LLP

New York’s Convenience of the Employer Rule – New Jersey and Connecticut Respond

Rivkin Radler LLP on

History is replete with examples of leaders who chose to battle, or who were forced into defending against, enemies on two fronts. Rarely did it end well for the combatant that occupied the middle ground. In a sense, New...more

Troutman Pepper Locke

Trends to Watch in State and Local Tax

Troutman Pepper Locke on

We have been living with the pandemic for nearly two years. During these two years, much has changed in the workplace and how companies conduct business. Teleworking is certainly one aspect of our “new normal,” however, many...more

Buckingham, Doolittle & Burroughs, LLC

Out-of-State Remote Workers may Create Substantial Nexus as COVID-19 Protections Expire

In response to the COVID-19 pandemic, as work-from-home became the norm, many states provided safe harbors such that remote workers teleworking in the state would not create nexus for corporate income tax and sales / use tax...more

Rivkin Radler LLP

Like A Good Neighbor, New York Is Still Free To Tax You – Sorry For The Inconvenience

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NH vs MA- Last week, the U.S. Supreme Court denied New Hampshire’s request that the Court exercise its original jurisdiction under the Constitution[i] to hear and resolve a conflict involving the taxation by Massachusetts...more

Eversheds Sutherland (US) LLP

SCOTUS denies New Hampshire’s motion challenging Massachusetts’ taxation of nonresident remote workers during Covid-19

On June 24, 2021, the United States Supreme Court held a conference to review New Hampshire’s motion for leave that challenged Massachusetts’ taxation of wages earned by nonresident remote workers during the Covid-19 period....more

Bowditch & Dewey

How a Remote Workforce Changes State and Local Tax Requirements

Bowditch & Dewey on

Governor Baker announced on Monday, May 17 that Massachusetts will end the COVID-19 state of emergency on June 15, 2021. Given this news, the Massachusetts Pandemic-related Temporary withholding tax rules will expire...more

Jackson Lewis P.C.

Remote Employees: The Geographic Tax And Benefits Challenges

Jackson Lewis P.C. on

As the COVID-19 vaccine has become readily available, and many employers contemplate employees returning to the office to work, both employers and employees have accelerated demands for new and permanent remote work location...more

Blank Rome LLP

Connecticut Paves the COVID High Road

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Recently, Connecticut enacted legislation providing that having an employee telecommuting from Connecticut will not create a taxable presence (i.e., nexus) in the state for the employer. H.B. 6516, Gen. Assemb., Jan. Sess.,...more

Kerr Russell

State And Local Tax Considerations For Remote Employees – And Their Employers

Kerr Russell on

Government mandated work-from-home orders have created a remote workforce, creating a host of complex state and local tax issues for both employers and their employees. Even as these orders expire, a common trend among...more

Bowditch & Dewey

Update on Revised DOR Income Tax Pandemic Regulations for Telecommuters

Bowditch & Dewey on

On March 5, 2021, the Massachusetts Department of Revenue (DOR) codified final regulations to extend Massachusetts income tax withholding to non-residents formerly commuting to Massachusetts but now telecommuting due to the...more

K&L Gates LLP

New Hampshire v. Massachusetts: Potential for Remote Working Tax Uniformity

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As the coronavirus (COVID-19) pandemic wears on, many companies that adopted emergency work-from-home or work-from-anywhere policies are considering allowing employees to work remotely permanently, even after the threat of...more

McDermott Will & Schulte

Connecticut Bill Aims to Address the Impact of Telecommuting during the Pandemic

As we continue to face growing concerns because of the nationwide impact of COVID-19, taxpayers should be mindful of the potential impacts that the continued rise in telecommuting may have on their state personal income tax...more

Amundsen Davis LLC

So Your Employee Wants To Work Remotely Out Of State

Amundsen Davis LLC on

Given the “new normal” of remote work for many employees throughout the country, the question as to whether to allow an employee to work in another state – either permanently or temporarily – has become something employers...more

White and Williams LLP

Five Steps Employers Should Take In the Second Year Of the COVID-19 Pandemic

For the past year, employers faced unprecedented difficulties as they navigated the twists, turns and ever-present challenges the COVID-19 pandemic dished out. A year later, new challenges face employers. The promise of...more

Husch Blackwell LLP

One Year Later: Compliance Guide For Employers With A WFH Workforce

Husch Blackwell LLP on

On January 20, 2020, the first case of COVID-19 in the United States was confirmed in Washington state. By March, many employers began sending their workers home on what was expected to be a temporary basis. Almost one year...more

Vinson & Elkins LLP

Some Remote Workers (And Their Employers) Wrestle With State Income Tax Issue; It Likely Won’t End Once The Pandemic Ends

Vinson & Elkins LLP on

Many employees during the COVID-19 pandemic are asking: To which state must I pay income tax? Potentially affected are employees who resided in State A and commuted to work in State B before the pandemic but are now...more

Foley & Lardner LLP

Remote Workers: HR Management Put to the Test to Consider State Leave Laws, Handbooks, Policies and Taxes

Foley & Lardner LLP on

Even before COVID-19, many businesses had employees residing in states other than where the company may have its corporate headquarters or larger facilities with a dedicated human resources team. Certainly, a trend...more

BakerHostetler

New Hampshire v. Massachusetts - Are There Broader State Tax Implications?

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Massachusetts is taxing nonresidents who are working outside Massachusetts due to COVID-19. Seems unfair? Well New Hampshire agrees and has asked the US Supreme Court to allow it to bring suit against Massachusetts. Matt...more

Farrell Fritz, P.C.

State Taxation Of Telecommuting Employees And Their Nonresident Employers

Farrell Fritz, P.C. on

Mending Walls- “Good fences make good neighbors,” or so Robert Frost’s neighbor from “beyond the hill” says to him when “on a day” they “meet to walk the line and set the wall between” them “once again.” The neighbor...more

Robinson & Cole LLP

Work from Anywhere? Telecommuting and Tax Obligations for Employers: Practical Considerations and Tips for Human Resources and...

Robinson & Cole LLP on

As a result of the COVID-19 pandemic, there has been a sudden, widespread shift towards remote work arrangements. This shift has provided many benefits, including an increase in the employee talent pool and the ability to...more

Orrick - Employment Law and Litigation

Another Cost of COVID-19 Remote Work – States Want their Cut of Payroll Taxes

Many employers now have employees who have shifted from working in the employer’s office to working remotely from home as a result of the COVID-19 pandemic. ...more

Freeman Law

Remote Work Force and State Tax Implications

Freeman Law on

The Covid-19 pandemic has had an impact on our workforce. Companies were forced to quickly respond to a work-from-home model for its employees. Many employees began working from states other than the states in which their...more

Epstein Becker & Green

#WorkforceWednesday: OSHA Issues COVID-19 Citations, Michigan Enacts Liability Shield, and States Battle for Telecommuter Taxes -...

Epstein Becker & Green on

It’s #WorkforceWednesday! This week, workplace safety and liability issues are top of mind while employers also look ahead to the tax issues telecommuting will cause this tax season. OSHA Issues Citations for COVID-19...more

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