State Apportionment of Taxable Income

As the business grows and expands, it may create a nexus in other states, requiring the company to file tax returns in multiple states. Here, we will discuss how taxable income is allocated or apportioned in several states.

2023 2nd Quarter U.S. Economic & Investment Market Review

Despite being better than expected, the risk of an economic recession lingers for the second quarter of 2023 in the US economy and stock market. In this review, we will examine various aspects, including the labor market, inflation, Fed tightening cycle, and other countries’ economies.

Concept of State Nexus

Let’s explain the concept of “nexus,” which is crucial for understanding state taxation, using specific examples. Remember that for a company to be required to file taxes in a state, it must have a nexus or business relationship with that state. In this discussion, we’ll focus on income tax nexus. Later on, we’ll also address sales tax nexus.

Is It Better for a Company to Be Public or Private?

In the comparison between public and private companies, we will explain what it means to “go public,” as well as the requirements, advantages, and disadvantages of listing on the stock market in the United States.

Key Pitfalls on Sales Taxes Imposed in the United States

Most of us have heard of sales taxes in the past with at least a vague idea of what it is: taxes imposed on sales. Although the concept may initially seem straightforward, the details behind when and where sales taxes are imposed in the United States can become unnecessarily complex without the appropriate resources. In addition, the concept of sales tax itself may be foreign to those who reside out of the US. Let’s spend some time covering the key concepts of sales taxes attributable to the US.

Corporation vs LLC: Which Should I Choose?

The decision to form either a limited liability company (LLC) or a corporation depends on the type of business that an individual is creating, the possible tax consequences of forming the entity, and other
considerations. Both types of entities have the significant legal advantage of helping to protect assets from creditors and providing an extra layer of protection against legal liability.

2023 1st Quarter U.S. Investment Market Review

Volatility continued to challenge investors in the first quarter as financial sector weakness, elevated inflation and an uncertain outlook for monetary policy sent markets through twists and turns after a strong start to the year. Despite this, many sectors have managed gains year-to-date, a welcome development after last year’s losses.

Should You Form Your Startup in Delaware?

New startups always face the decision of where to incorporate. Often they have heard that Delaware is the ‘best’ place to incorporate for tax or corporate governance reasons. Business owners are not aware of the added duties and responsibilities of incorporating outside of your state of residence. The default should always be incorporating in the state of operations or residence.