tag:blogger.com,1999:blog-4845852850567999492Fri, 30 Aug 2024 05:27:08 +0000Info of interest to small business owners in DE, MD, PA, NJ and VA. Book reviews, state and federal legislative changes, etc.http://delmarvanexus.blogspot.com/noreply@blogger.com (First State CPAs LLC)Blogger53125tag:blogger.com,1999:blog-4845852850567999492.post-1178008082186652713Thu, 02 Aug 2012 13:32:00 +00002012-08-02T06:32:00.505-07:00 The 20% owner of a tire shop who performed the duties of shop foreman was relieved of personal liability for unpaid sales taxes because he proved that, despite his standing as the President of the corp, he did not meet the VA definition of a corp officer. He did not have enough ownership/authority to control business affairs. He had no actual knowledge that the taxes were not being paid. The http://delmarvanexus.blogspot.com/2012/08/va-corp-president-not-held-liable-for.htmlnoreply@blogger.com (First State CPAs LLC)0tag:blogger.com,1999:blog-4845852850567999492.post-4969621161579832665Wed, 01 Aug 2012 13:20:00 +00002012-08-01T06:20:00.807-07:00From January 2010. These may not always stay the same so please confirm before depending on the info! (DE has no reciprocal agreements of this nature.) State States with State Tax Reciprocal Agreements Exemption Form District of Columbia All non-residents who work in DC can claim exemption from withholding for the DC income tax. D-4A Illinois Iowa, Kentucky, Michigan, Wisconsin IL-W-5-NR http://delmarvanexus.blogspot.com/2012/08/state-tax-reciprocal-agreements-example.htmlnoreply@blogger.com (First State CPAs LLC)1tag:blogger.com,1999:blog-4845852850567999492.post-350187782399738295Tue, 31 Jul 2012 13:18:00 +00002012-07-31T06:18:00.523-07:00If you live in one state but work in another, your employer will generally withhold and remit taxes to the state where you are working - not where you are living. However, you will owe tax to your state of residence on all the income you earn, regardless of where you earned the income. Your home state will probably give you a credit for taxes paid to other states so you will only wind up paying http://delmarvanexus.blogspot.com/2012/07/virginia-no-deduction-for-taxes-paid-to.htmlnoreply@blogger.com (First State CPAs LLC)0tag:blogger.com,1999:blog-4845852850567999492.post-7147281378661846347Mon, 30 Jul 2012 12:58:00 +00002012-07-30T05:58:00.518-07:00Enterprise Zone Tax Credits Real property tax credits – Ten-year credit against local real property taxes on a portion of real property improvements. Credit is 80% the first five years, and decreases 10% annually to 30 percent in the tenth and final year. Income tax credits – the one-time $1,000 credit per new worker. For economically disadvantaged employees, the credit is $6,000 per employee http://delmarvanexus.blogspot.com/2012/07/maryland-renews-and-expands-enterprise.htmlnoreply@blogger.com (First State CPAs LLC)0tag:blogger.com,1999:blog-4845852850567999492.post-3176292357046537985Wed, 27 Jun 2012 13:07:00 +00002012-06-27T06:07:00.557-07:00The Director of NJ Division of Taxation may, when necessary, regard a salesperson, representative, independent contractor, solicitor, trucker, peddler or canvasser operating in New Jersey as an agent of the dealer, distributor, supervisor, employer or person under whom the agent operates or from whom the agent obtains the tangible personal property sold by the agent, regardless of whether the http://delmarvanexus.blogspot.com/2012/06/nj-nexus-news-part-7_27.htmlnoreply@blogger.com (First State CPAs LLC)0tag:blogger.com,1999:blog-4845852850567999492.post-5227551581347742108Tue, 26 Jun 2012 13:03:00 +00002012-06-26T06:03:00.996-07:00 NJ nexus news: Persons who is engaged in the business of selling tangible personal property, directly or through a subsidiary or other related entity, to purchasers in New Jersey by mail, telephone, the Internet or any other media, and who has a contractual relationship with an entity to provide and perform delivery, installation, assembly, or maintenance services for that person’s purchasers http://delmarvanexus.blogspot.com/2012/06/nj-nexus-news-part-6_26.htmlnoreply@blogger.com (First State CPAs LLC)0tag:blogger.com,1999:blog-4845852850567999492.post-2892799585108021212Mon, 25 Jun 2012 13:00:00 +00002012-06-25T06:00:19.028-07:00 Persons who are engaged in the business of selling tangible personal property, specified digital products, or services, the use of which is subject to tax in New Jersey, and who use a trademark, service mark, or trade name that is the same as the trademark, service mark, or trade name used by an affiliated person in New Jersey will be deemed sellers for purposes of being required to register to http://delmarvanexus.blogspot.com/2012/06/nj-nexus-news-part-5.htmlnoreply@blogger.com (First State CPAs LLC)0tag:blogger.com,1999:blog-4845852850567999492.post-7441894398425847704Thu, 21 Jun 2012 12:27:00 +00002012-06-21T05:27:00.145-07:00Persons who derive receipts from the lease or rental of tangible personal property situated within New Jersey will be deemed sellers for purposes of being required to register to do business in New Jersey and collect/remit sales tax.http://delmarvanexus.blogspot.com/2012/06/nj-nexus-news-part-4.htmlnoreply@blogger.com (First State CPAs LLC)0tag:blogger.com,1999:blog-4845852850567999492.post-3741203264354911197Wed, 20 Jun 2012 12:27:00 +00002012-06-20T05:27:00.128-07:00 Persons who hold a substantial ownership interest in, or are owned in whole or substantial part by, a business that maintains an office, distribution facility, sales or sample facility, warehouse or storage place or other similar place of business in New Jersey that delivers tangible personal property or specified digital products sold by the person to customers will be deemed sellers for http://delmarvanexus.blogspot.com/2012/06/nj-nexus-news-part-3.htmlnoreply@blogger.com (First State CPAs LLC)0tag:blogger.com,1999:blog-4845852850567999492.post-3377646654327512330Tue, 19 Jun 2012 12:25:00 +00002012-06-19T05:25:00.156-07:00Persons who hold a substantial ownership interest in, or are owned in whole or in substantial part by, a person maintaining a place of business within New Jersey, and who use the in-state facilities or the in-state employees of a related person in New Jersey to advertise, promote, or facilitate sales to customers will be deemed sellers for purposes of being required to register to do business in http://delmarvanexus.blogspot.com/2012/06/nj-nexus-news-part-2.htmlnoreply@blogger.com (First State CPAs LLC)0tag:blogger.com,1999:blog-4845852850567999492.post-8294660747592878480Mon, 18 Jun 2012 12:24:00 +00002012-06-18T05:24:00.277-07:00Persons who hold a substantial ownership interest in, or are owned in whole or in substantial part by, a person maintaining a place of business within New Jersey and who sell the same or a similar line of products as the related person in New Jersey under the same or a similar business name will be deemed sellers for purposes of being required to register to do business in New Jersey and collect/http://delmarvanexus.blogspot.com/2012/06/nj-nexus-news-part-1.htmlnoreply@blogger.com (First State CPAs LLC)0tag:blogger.com,1999:blog-4845852850567999492.post-8267759304182608930Fri, 15 Jun 2012 13:07:00 +00002012-06-15T06:07:00.379-07:00Don’t forget that a PA RCT-101 filing is required even for single member LLCs. For many small businesses this is a tedious form resulting in little to no taxes due. It is akin to a PA franchise tax. Instructions for this form are cryptically found by searching for something else as detailed below: https://revenue-pa.custhelp.com/app/answers/detail/a_id/1289/~/http://delmarvanexus.blogspot.com/2012/06/pa-rct-101-return.htmlnoreply@blogger.com (First State CPAs LLC)0tag:blogger.com,1999:blog-4845852850567999492.post-7175702355521806979Thu, 14 Jun 2012 12:51:00 +00002012-06-14T05:51:00.479-07:00vs. just raising taxes on less and less income in order to break even like some other states.... VA has a corp and personal income subtraction for income attributed to an investment in certain tech and start-up companies and taxed as long-term capital gain. The period during which qualified investments may be made has been extended to June 2015 although the website has not been updated yet http://delmarvanexus.blogspot.com/2012/06/va-has-great-idea-to-bring-in-more.htmlnoreply@blogger.com (First State CPAs LLC)0tag:blogger.com,1999:blog-4845852850567999492.post-1017933669908856185Wed, 13 Jun 2012 12:44:00 +00002012-06-13T05:44:00.168-07:00 A water damage remediation company was deemed required to charge and remit sales tax on its services because what they provided did not constitute exempt capital improvements. Many contracting type services are subject to NJ sales tax and those that are exempt often require the contractor to obtain a signed statement from the customer which describes the nature of the work that was completed.http://delmarvanexus.blogspot.com/2012/06/nj-sales-tax-on-contracting-services.htmlnoreply@blogger.com (First State CPAs LLC)0tag:blogger.com,1999:blog-4845852850567999492.post-2308439394242299214Tue, 12 Jun 2012 12:39:00 +00002012-06-12T05:39:00.596-07:00 MD now allows a subtraction for US Coast Guard Auxiliary and Maryland Defense Force as well as volunteer fire, rescue and emergency personnel. Many states offer a tax credit of this nature so be sure to mention to your CPA that you are a volunteer. Volunteer workers can also deduct as charitable contributions the non reimbursed equipment purchases, mileage, and certain other expenses http://delmarvanexus.blogspot.com/2012/06/tax-info-for-volunteer-emergency.htmlnoreply@blogger.com (First State CPAs LLC)0tag:blogger.com,1999:blog-4845852850567999492.post-6419573017063229637Fri, 08 Jun 2012 13:47:00 +00002012-06-08T06:47:00.236-07:00A Delaware corporation with an employee allowed to telecommute full-time from her New Jersey residence was subject to the NJ corporation business tax (CBT), and required to register to do business in NJ as well as to file CBT returns and employment tax returns. The employee developed and wrote software code from a laptop computer from her residence in New Jersey and then uploaded it to a http://delmarvanexus.blogspot.com/2012/06/nexus-news-for-anyone-with.htmlnoreply@blogger.com (First State CPAs LLC)0tag:blogger.com,1999:blog-4845852850567999492.post-3183908084743952139Thu, 07 Jun 2012 13:46:00 +00002012-06-07T06:46:00.099-07:00 PA has extended its Keystone Opportunity Improvement Zone tax exemptions, deductions, abatements, and credits, expanded existing zones, and created additional zones. The sunset date of 12/31/2018 has been repealed. Tax benefits available to businesses and residents located in KOZs, KOEZs, and KOIZs include a sales and use tax exemption, a property tax abatement, and credits against corporate andhttp://delmarvanexus.blogspot.com/2012/06/pa-keystone-opportunity-zone-lives-on.htmlnoreply@blogger.com (First State CPAs LLC)0tag:blogger.com,1999:blog-4845852850567999492.post-8065589832012896492Wed, 06 Jun 2012 13:40:00 +00002012-06-06T06:40:00.017-07:00VA has passed legislation that requires retail companies operating in multiple states to use a single factor (sales) apportionment factor for computing the percentage of total taxable income attributable to VA. (A retail company has can NAICS code in sector 44-45.) The standard is a 3 factor uitizing sales, payroll, and assets/inventory/rental space value.This will be phased in between http://delmarvanexus.blogspot.com/2012/06/va-passes-single-apportionment-factor.htmlnoreply@blogger.com (First State CPAs LLC)0tag:blogger.com,1999:blog-4845852850567999492.post-7378950562101407205Tue, 05 Jun 2012 13:35:00 +00002012-06-05T06:35:00.622-07:00If a dealer has a location in VA but it can prove that this location does not materially participate in the process of delivering or selling merchandise to VA customers it may exempt itself from the requirement to collect/remit sales taxes. However, the merchant must advise VA purchasers that use tax may be due from them to VA for their purchase from an out of state seller. Dealers willhttp://delmarvanexus.blogspot.com/2012/06/nexus-news-for-those-shipping-tangible_05.htmlnoreply@blogger.com (First State CPAs LLC)0tag:blogger.com,1999:blog-4845852850567999492.post-1672096588863617780Mon, 04 Jun 2012 13:34:00 +00002012-06-04T06:34:00.315-07:00VA now has a presumption that a merchant has sufficient activity within Virginia to require it to register for the collection of retail sales and use taxes if any commonly controlled person/entity maintains a distribution center, warehouse, fulfillment center, office, or similar location within Virginia that facilitates the delivery of items to customers of the business. For example, this would http://delmarvanexus.blogspot.com/2012/06/nexus-news-for-those-shipping-tangible.htmlnoreply@blogger.com (First State CPAs LLC)0tag:blogger.com,1999:blog-4845852850567999492.post-8511750791030211582Fri, 01 Jun 2012 13:33:00 +00002012-06-01T06:33:00.616-07:00 VA reminds taxpayers that it’s tax calculations differ from federal in the areas of: the special bonus depreciation allowance, the five-year carryback period for certain net operating losses, the federal domestic production activities deduction, the provisions of IRC §32(b)(3) that relate to the federal earned income tax credit, and the deferral of income from the cancellation of debt.http://delmarvanexus.blogspot.com/2012/06/va-decoupling-modifications.htmlnoreply@blogger.com (First State CPAs LLC)0tag:blogger.com,1999:blog-4845852850567999492.post-1673750515833928336Thu, 31 May 2012 13:30:00 +00002012-05-31T06:30:05.737-07:00 Thirty six states require 1099 forms reporting for various types of non-payroll compensation and other miscellaneous income. While the 1099 filing requirements and dollar reporting thresholds may vary, the requirement to file a state return is generally contingent on the reporting requirements for the state in which the 1099 recipient resides. The states not requiring tax filing for 1099 forms http://delmarvanexus.blogspot.com/2012/05/state-copies-of-1099-forms.htmlnoreply@blogger.com (First State CPAs LLC)0tag:blogger.com,1999:blog-4845852850567999492.post-1831253375944643341Thu, 31 May 2012 01:22:00 +00002012-05-30T18:22:47.550-07:00PA residents age 65 or older (widow or widower 50 or older and people with disabilities 1 or older) with incomes of less than $35k for homeowners and $15k for renters (excluding ½ of social security) are eligible to apply for a rebate of up to $975 for property taxes or rent. The deadline for a 2011 rebate is 6/1/2012. More info here: http://www.portal.state.pa.us/portal/server.pt/community/http://delmarvanexus.blogspot.com/2012/05/deadline-for-2011-pa-property-tax.htmlnoreply@blogger.com (First State CPAs LLC)0tag:blogger.com,1999:blog-4845852850567999492.post-7244679837745329082Thu, 23 Feb 2012 14:34:00 +00002012-02-23T06:34:00.321-08:00The Maryland Comptroller of the Treasury has replaced form MW507 with form MW507M (Exemption from Maryland Withholding Tax for a Qualified Civilian Spouse of a U. S. Armed Forces Servicemember) to be used beginning with tax year 2011. Affected taxpayers who have already filed Form MW507 for 2011 should contact their employers to obtain and complete Form MW507M, which will be effective http://delmarvanexus.blogspot.com/2012/02/md-makes-minor-form-replacement.htmlnoreply@blogger.com (First State CPAs LLC)0tag:blogger.com,1999:blog-4845852850567999492.post-6210677712367338199Wed, 22 Feb 2012 14:23:00 +00002012-02-22T06:23:00.109-08:00Services provided by the taxpayer that were accessed by its customers online and delivered to the customers electronically were not subject to the Virginia retail sales and use tax because no tangible personal property was transferred as a result of these transactions. The transactions were deemed a provision of services. http://delmarvanexus.blogspot.com/2012/02/va-deems-provision-of-all-digital.htmlnoreply@blogger.com (First State CPAs LLC)0