#multi-state-tax
Multi-State Tax
Multi-state tax compliance, nexus rules, and withholding requirements for businesses operating across state lines
No More Pennies: A Small-Business Guide to 2026's State Cash-Rounding Laws
The U.S. minted its last penny on November 12, 2025, and 19 states have enacted cash-rounding laws in 2026 with no federal standard yet in force. Most states let retailers round cash totals to the nearest nickel at their discretion, Arizona mandates Canadian-style rounding, and Indiana treats rounding gains and losses as income adjustments. Here is how the rules differ, why sales tax is always calculated on the pre-rounding price, and how to book rounding variances so they stay auditable.
Washington, D.C. Sales Tax Rises to 7% on October 1, 2026: What It Means for Digital Goods and SaaS Sellers
Washington, D.C.'s general sales tax rate rises from 6% to 7% on October 1, 2026, and the District taxes digital goods and SaaS at the full rate with no B2B exemption. This guide covers the delayed Budget Support Act increase, D.C.'s $100,000/200-transaction economic nexus thresholds, and a five-step compliance checklist for invoices that straddle the rate change.
Colorado HB26-1289: Worldwide Combined Reporting Becomes the C Corp Default in 2027
Starting with tax years beginning January 1, 2027, Colorado's HB26-1289 makes worldwide combined reporting the default for unitary C corporation groups — foreign subsidiaries included. The water's-edge election that avoids it binds for ten consecutive years, and a tax-haven blacklist (Hong Kong, Ireland, the Netherlands, Singapore) pulls listed entities back in regardless. Here's who is affected and what records you need.
How Should States Tax Partnership Income? Inside the MTC's Blended Apportionment Proposal
The Multistate Tax Commission's January 2026 white paper proposes a "blended" apportionment method that folds a partnership's sales, property, and payroll factors into each partner's own state tax calculation. Because states currently split between aggregate and entity sourcing theories, the same partnership dollar can be taxed twice — or not at all. Here's what multistate partnerships and multi-member LLCs should track now.
New Jersey's Medicaid Employer Assessment (A5324): What the First-in-the-Nation Law Means for Your Payroll
New Jersey's A5324, effective July 1, 2026, bills employers $325–$725 per year for each Medicaid-enrolled employee or dependent once 50 or more are enrolled — matched by the state, not self-reported. Here is how the tiered fees work, which workers are exempt now and in 2027, and how to prepare your books for a bill you didn't calculate.
Gusto vs. OnPay for Teams Under 10: Which Payroll Pricing Model Actually Fits?
Gusto's Simple tier runs $49/month + $6 per employee but gates multi-state payroll behind an $80 Plus tier; OnPay's single ~$40–59 + $6 plan includes it standard. A feature-by-feature cost comparison for businesses with 2–9 employees, covering PTO, direct deposit, benefits availability, support, and integrations.
Kentucky Drops the 200-Transaction Sales Tax Rule: What the Revenue-Only Nexus Threshold Means for Online Sellers
Kentucky HB 757 eliminates the state's 200-transaction economic nexus threshold effective August 1, 2026, leaving a $100,000 revenue-only test — joining Alaska, Utah, and Illinois in a broader multi-state shift away from transaction-count triggers.
Maine's 2026 Streaming Tax: What Netflix, Spotify, and Podcast Sellers Must Collect
Maine now applies its 5.5% sales tax to streaming video, music, audiobook, and podcast subscriptions as of January 1, 2026, with economic nexus triggered at $100,000 in revenue from Maine customers.
WA Cares Fund: A Washington Employer's Payroll Withholding Guide for 2026
Washington employers must withhold 0.58% of gross wages with no cap for the WA Cares Fund, the state's employee-funded long-term care program that began paying benefits up to $36,500 per worker in July 2026, and file combined quarterly reports with the Employment Security Department.
Connecticut's Paid Sick Leave Law Now Covers 11+ Employees: What Changed in 2026
Connecticut's paid sick leave law now covers employers with 11 or more employees as of January 1, 2026, dropping to zero threshold by 2027, while 17 states plus D.C. mandate some form of paid sick leave with accrual typically at one hour per 30 hours worked.
Why Voiceover Artists Have the Weirdest Bookkeeping in the Gig Economy
Voiceover income mixes 1099s, direct payments that never generate a tax form, 10% agent commissions on some income but not all, and residuals that arrive years after the session. How voice actors handle Schedule C reporting, the §280A exclusive-use home studio deduction, 100% bonus depreciation on mic and booth gear, multi-state tax exposure, and the one KPI — booked hours per audition — that shows whether the business works.
State Tax Residency Audit Defense After Moving to a No-Tax State
A practical guide to surviving California FTB and New York residency audits after moving to Florida, Texas, or Nevada — the domicile and statutory residency tests, day-count documentation, equity compensation traps, and the convenience-of-the-employer rule.