Business Tax

Tax Advice for Startups & Growing Businesses

The firm provides business tax recommendations in complex tax scenarios based on strategic thinking and thorough research.

The tax impacts of business decisions are just as critical for small businesses as multi-million dollar enterprises. Tax advice is particularly important at the startup stage when forming a business and choosing an entity type.

The firm offers consulting services for issues concerning startup through liquidation, with a special focus on pass-through entities and online businesses.

Special Focus on State & Local Tax (SALT) Laws

New State & Local Tax laws may affect your business, particularly if you are an online retailer or remote seller in multiple states. The US Supreme Court’s June 21, 2018 decision in South Dakota v. Wayfair ruled that states can require remote sellers to collect sales taxes even if they do not have a physical presence in the state through a concept called “economic nexus.”

The firm provides research and advice to help your business review and comply with state and local tax obligations under the new laws.

State Legislatures Act

State legislatures have already begun implementing new laws to piggypack on to South Dakota’s law that was at issue in the Wayfair case. New economic nexus laws vary by state.

Sales & Transaction Thresholds

Many states are requiring remote sellers to collect sales tax if they transact $100,000 in sales or 200 separate transactions in that state.

Online Retailers Affected

Online retailers are directly affected, but any remote seller into a state is subject to the impact of Wayfair.

Small Business Impact

Wayfair will hit small businesses hard who now will have to track and collect taxes from potentially multiple states and monitor multiple states economic nexus laws.

Crafting Business Tax Solutions

FORMATION

Advice on the business entity types, formation requirements, and tax implications.

CONTRIBUTIONS

Determining the proper tax treatment for contributions to capital in any form.

START-UP COSTS

Determining tax treatment of organizational, syndication, and start-up expenses.

DEDUCTIONS & LIABILITIES

Analyzing tax treatment of business expenses, losses, bad debts, and assumed liabilities.

STOCK TRANSACTIONS

Advising on the tax impact of stock transfers, redemptions and dividends.

SALT ISSUES

Advice and analysis of state and local tax obligations in light of Wayfair and remote sales legal trends.

EMPLOYMENT TAXES

Advice on employee and independent contractor considerations and compensation issues.

DISTRIBUTIONS

Confirming tax treatment of distributions – current, liquidating, dividends, property & constructive distributions.