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Sales rep and state taxation

Technical topics regarding tax preparation.
#1
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Lower 48
A sales rep/employee lives in one state but flies/travels to different states in the course of his job. His W-2 is with the state he lives in and withholding is entirely in that state.

Does he have to file a tax return in every state he travels to in his job as a sales rep?

I suppose the same question would arise with an executive/employee who flies to different states in the course of his job. Should that person be filing with every state he/she flies to?
 

#2
Noobie  
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Jacksonville, FL
There is no quick answer. Most states do not apply tax if there less than 30 days, or 5% of income. But you would have to look at every state.
 

#3
jon  
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minnesota
Nexus and what the definition in every state is even harder. Simple, but may not be true, pure engaging a customer, for a sale that is not completed then and delivered by the salesman usually does not create income in that state to him. Second, I think the nexus is created for the employer when that happens. If it creates nexus the employer processes it as such and if necessary includes the withholding on the employee returns.

One of the Big whatever CPA firms records employee's state withholdings based on if they had offices in that state. I do a return for a woman who is an insurance specialist for one of them and she lives in the midwest, but normally has five to ten other states' withholdings as she flies to where ever she is needed. This is for services...
 

#4
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Lower 48
Does an employer have a responsibility to withhold in another state or present a notification to the employee with the W-2 about filing in other states? The tax preparer sees a W-2 with no indication that the person traveled to another state for work. It could be any type of employee...an executive who travels a week a month to another location in the US, a sales manager who travels to another state(s) several times a month, etc.

Where does our responsibility begin/end when the client has a clean W-2 with no indication of activity any where else? Do we have to drill down and ask every client with a W-2 whether they traveled to any other state for even a day that was work related?
 

#5
JR1  
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Western 'burbs of Chicago
Yeah, I'm calling this an employer issue, not an employee. IF/when the ER withholds tax from other states, then the ee is obligated to file, allocate, etc. I rarely see this outside of our own biz clients.
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